12. Free Cash Flow (LO3, CFA7) A firm has EBIT of $275 million, which is net of $52 million in depreciation. In addition, the firm had $81 million in capital expenditures and an increase in net working capital of $5 million. The firm’s tax rate is 21 percent. The firm’s FCF is closest

(in millions)

to:

a. $280

b. $101

c. $231

d. $183