applied Corporate Finance

3. Use the financial statements to calculate free cash flow (FCF) for Year 2. Mammoth Mart Inc. Income Statement and Balance Sheet ($000s) Year 1 Year 2 Revenue $ 29,210 $ 30,817 Cost of Goods Sold 22, 152 23,371 SG&A 5,245 5,534 Depreciation Expense 621 640 EBIT 1, 192 1,272 Interest Expense 277 283 Earnings before Taxes 915 989 Income Taxes 288 311 Net Earnings $ 627 678 Current Assets Year 1 Year 2 Cash $ 1,467 $ 1,548 Accounts Receivable 649 684 Inventories 2,269 2,394 Total Current Assets 4,385 $ 4,626 Net Fixed Assets 9,637 9,939 Goodwill 678 678 Total Assets $ 14,700 $ 15,243 Current Liabilities Short Term Debt $ 715 $ 715 Accounts payable 2,936 3,097 Total Current Liabilities 3, 651 3,812 Long Term Debt 4,208 3,912 Other Liabilities 560 560 Total Liabilities $ 8,419 $ 8,284 Common Stock 1, 192 1,192 Retained Earnings 5.089 5,767 Total Owners' Equity 6,281 6.959 Liabilities & Owners' Equity $ 14,700 $15,243