Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

10) This year a firm had revenues of $10,000 and total expenses of $8,000. The firm also increased their inventory by $500, accounts receivable

image text in transcribed

10) This year a firm had revenues of $10,000 and total expenses of $8,000. The firm also increased their inventory by $500, accounts receivable by $300 and accounts payable by $400. The firm also purchased a new $1,000 piece of machinery. The firm recorded $200 in depreciation and paid $200 in interest. What is the free cash flow for the firm?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Intermediate Financial Management

Authors: Eugene F. Brigham, Phillip R. Daves

13th Edition

1337395080, 9781337395083

Students also viewed these Finance questions

Question

Confirm (6.26) by using (6.25). (6.26) (6.25)

Answered: 1 week ago

Question

What is the danger of having an organizational crisis memory?

Answered: 1 week ago