Below is Ahoy Ltd's income statement and balance sheet.

Which of the following statements about the financial year from 30 June 2022 to 30 June 2023 is NOT correct? Answer

a.

The change in net operating working capital was likely negative because in net terms, more inventory was bought rather than sold.

b.

Net capital expenditure was $110m.

c.

The change in net operating working capital was -$10m.

d.

Free cash flow to the Firm (FCFF) represents cash that is available for distribution to debt and equity holders.

\begin{tabular}{lrlrr} \multicolumn{1}{c}{\begin{tabular}{c} Ahoy Ltd \\ \multicolumn{1}{c}{ Income Statement for } \\ year ending 30 June (millions) \end{tabular}} & \multicolumn{2}{c}{AhoyLtdBalanceSheetasat30June(millions)} \\ Operating revenue & 2023 & & 2023 & 2022 \\ Operating expenses & 700 & & 55 & 62 \\ Depreciation & -423 & Inventory & 10 & 8 \\ EBIT & -10 & Accounts receivable & 600 & 500 \\ Interest expense & 267 & Net property, plant and equipment & 665 & 570 \\ Pre-tax profit & -27 & Total assets & 55 & 50 \\ Tax expense at 30\% & 240 & Accounts payable & 30 & 20 \\ Net profit after tax & -72 & Short-term debt & 90 & 90 \\ & 168 & Long-term debt & 175 & 160 \\ & & Total liabilities & 90 & 120 \\ & & Share capital & 400 & 290 \\ & & Retained earnings & 490 & 410 \end{tabular}