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A firm with no debt produced Free cash flow $3000 in 2015 and borrowed money to buy back shares of stock. Borrowing in 2015 amounted
- A firm with no debt produced Free cash flow $3000 in 2015 and borrowed money to buy back shares of stock. Borrowing in 2015 amounted $1300 generating interest expense $80. The firm made no capital investment but add $1,200 to its cash during 2015. tax rate was 25%. what would be cash flow to shareholder in 2015?
I only know the formula as
Cash flow to shareholder = FCF - CFC
= $3,000 -
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Introduces Quantitative Finance
Authors: Paul Wilmott
2nd edition
470319585, 470319581, 978-0470319581
