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Greshak Corp. recently reported $18,350 of sales, $9,900 of operating costs other than depreciation, and S1,250 of depreciation. The company had no amortization charges, it
Greshak Corp. recently reported $18,350 of sales, $9,900 of operating costs other than depreciation, and S1,250 of depreciation. The company had no amortization charges, it had $4,500 of outstanding bonds that carry a 10.0% interest rate, and its federal-plus-state income tax rate was 30%. In order to sustain its operations and thus generate sales and cash flows in the future, the firm was required to spend $2,850 to buy new fixed assets and to invest $1,625 in net operating working capital. How much free cash flow did Greshak generate? Select one: 0 A($ 120.00). O B. S 415.00 O C. $1,815.00 O D.S 710.00 O E. $1,180.00
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