Question
Calculate free cash flow for 2017 for Monarch Textiles, Inc., based on the financial information that follows. Assume that all current liabilities are non-interest-bearing liabilities
Calculate free cash flow for 2017 for Monarch Textiles, Inc., based on the financial information that follows. Assume that all current liabilities are non-interest-bearing liabilities and that no fixed assets were sold or disposed of during 2017. (Round your answer to 1 decimal places.)
| Monarch Textiles, Inc. ($ thousands) | ||||||||
| Income statement | Selected balance sheet items | |||||||
| 2017 | 2016 | 2017 | ||||||
| Sales | 1,190 | Current assets | 330 | 445 | ||||
| Cost of sales | 730 | Net fixed assets | 112 | 224 | ||||
| Operating expenses | 115 | Current liabilities | 215 | 295 | ||||
| Depreciation | 56 | |||||||
| Interest expense | 50 | |||||||
| Earnings before taxes | 239.00 | |||||||
| Tax | 95.60 | |||||||
| Net income | 143.40 | |||||||
|
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Intermediate Accounting Reporting and Analysis
Authors: James M. Wahlen, Jefferson P. Jones, Donald Pagach
2nd edition
9781305727557, 1285453824, 9781337116619, 130572755X, 978-1285453828
