Question
1.A corporation reports net income of $120,000 in 2020.The cash flows from operating activities in 2020 are $105,000.The Retained Earnings balance on 1/1/20 is $95,000
1.A corporation reports net income of $120,000 in 2020.The cash flows from operating activities in 2020 are $105,000.The Retained Earnings balance on 1/1/20 is $95,000 and the Retained Earnings balance on 12/31/20 is $198,000 (any change in Retained Earnings is from net income and cash dividends paid).The capital expenditures in 2020 were $85,000.
Calculate the free cash flow
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Managerial Accounting
Authors: Sivaramakrishna, Ramji Balakrishnan
1st Edition
0471467855, 978-0471467854
