How much cash does the firm actually have?

You are the CFO of ABC Corp. You are looking to hire a financial analyst, and you’ve given an assignment to two short-listed candidates. You’ve given the following information to the job applicants:

•	The company reported net sales of $1,875 million. Assume that there were no noncash sales.
•	Operating costs (excluding depreciation and amortization) were 65% of the company’s total revenues.
•	Depreciation and amortization charges were 5% of total sales.
•	Interest charges were 15% of earnings before interest and taxes (EBIT) with a tax rate of 40%.

You’ve asked the candidates to give you a number that best represents the cash flow situation of the company.

Finn submits a report stating that the firm has $381 million in cash available.

Arty submits a report stating that the firm has $286.875 million in cash.

Based on the information given to them, which applicant has provided a better estimate of the company’s current cash flows?