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Calculate free cash flow for 2021 for Monarch Textiles, Incorporated, based on the financial information that follows. Assume that all current liabilities are non-interest-bearing liabilities
Calculate free cash flow for 2021 for Monarch Textiles, Incorporated, 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 2021.
Monarch Textiles, Incorporated ($ thousands) | ||||
Income statement | Selected balance sheet items | |||
---|---|---|---|---|
2021 | 2020 | 2021 | ||
Sales | 1,490 | Current assets | 430 | 595 |
Cost of sales | 778 | Net fixed assets | 152 | 304 |
Operating expenses | 126 | Current liabilities | 265 | 345 |
Depreciation | 76 | |||
Interest expense | 50 | |||
Earnings before taxes | 460 | |||
Tax | 184 | |||
Net income | 276 |
Note: Round your answer to the 1000s place.
Free Cash Flow = ???
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