Question
: During 2021, Beta Corporation expects to sell $50 in products and services. It expects its accounts receivable to decrease by $10. It plans to
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: During 2021, Beta Corporation expects to sell $50 in products and services. It expects its accounts receivable to decrease by $10. It plans to retire some manufacturing equipment and predicts it can get $15 for it. In addition, Beta Corporation has forecasted the following financial items for 2021:
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-
Depreciation expense $5
-
Selling & administrative expense $6
-
Capital expenditures $13
-
Cost of goods sold expense $40
-
Dividends to shareholders $3
: During 2021, Beta Corporation expects to sell $50 in products and services. It expects its accounts receivable to decrease by $10. It plans to retire some manufacturing equipment and predicts it can get $15 for it. In addition, Beta Corporation has forecasted the following financial items for 2021:
-
-
Depreciation expense $5
-
Selling & administrative expense $6
-
Capital expenditures $13
-
Cost of goods sold expense $40
-
Dividends to shareholders $3
-
Based on the above, what is Beta Corporations total forecasted net cash burn?
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Corporate Finance A Focused Approach
Authors: Michael C. Ehrhardt, Eugene F. Brigham
6th edition
978-1305637108
