Question
A company has the following income statement and balance sheet: INCOME STATEMENT Sales$1,000 Costs600 Depreciation250 EBIT$150 Interest expens50 EBT$100 Taxes (40%)40 Net income$60 BALANCE SHEET
A company has the following income statement and balance sheet:
INCOME STATEMENT
Sales$1,000
Costs600
Depreciation250
EBIT$150
Interest expens50
EBT$100
Taxes (40%)40
Net income$60
BALANCE SHEET
Cash$ 20Accounts payable $ 30
Short-term investments30Accruals50
Accounts receivable20Notes payable10
Inventory60Current liabilities90
Current assets130Long-term debt70
Gross fixed assets140Common stock30
Accumulated deprec.40Retained earnings40
Net fixed assets100Total common equity70
Total assets$230Total liab. & equity$230
If the Total Operating Capital FOR THE LAST YEAR WAS $120, what is the current year's Free Cash Flow?
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International Management Managing Across Borders And Cultures
Authors: Helen Deresky
10th Global Edition
1292430362, 978-1292430362
