Income Statement year ending $2020$

Sales Revenues $$120$

Cost of goods sold $33$

Fixed costs $20$

Selling, general, and administrative expenses $22$

Depreciation $5$

EBIT

Taxes

Net Operating Profits after Taxes $($NOPAT$)$

$***$ Tax rate $40\%$

Dividends paid $$10$

Partial Balance Sheet $12/31/2019$

ASSETS LIABILITIES

Current Assets Current Liabilities

Cash $$4$ Accruals $$7$

Accounts receivable $6$ Accounts payable $4$

Inventories $5$ Total current liabilities

Total current assets Long$-$term debt $20$

Total Liabilities

Gross Fixed assets $70$ OWNERS' EQUITY

Accumulated depreciation $10$ Retained earnings $(1)$

Net Fixed assets Common stock

Intangible assets $0$ Total owner's equity

TOTAL ASSETS TOTAL LIABILITIES & OWNER'S EQUITY

$(1)$ These are cumulative retained earnings but textbook simply calls it retained earnings

Partial Balance Sheet $12/31/2020$

ASSETS LIABILITIES

Current Assets Current Liabilities

Cash $$3$ Accruals $$6$

Accounts receivable $3$ Accounts payable $4$

Inventories $7$ Total current liabilities

Total current assets Long$-$term debt $15$

Gross Fixed assets $100$ Total liabilities

Accumulated depreciation OWNERS' EQUITY

Net Fixed Assets Retained earnings

Intangible assets $0$ Common stock

Total long$-$term assets Total owner's equity

TOTAL ASSETS TOTAL LIABILITIES & OWNER'S EQUITY

When answering, round to the nearest $$0\mathrm{.}01($cent$)$ and DO NOT use dollar signs, DO NOT USE commas to separate thousands, DO NOT use parenthesis to denote negative numbers, USE the negative sign and place it in front of first digit of your answer when your answer is a negative number. For example, if your result is $$43\mathrm{.}6$ then enter $43\mathrm{.}60$; if it is $-$$$3$ then enter $-3\mathrm{.}00$; if it is $$2,456\mathrm{.}786$ then enter $2456\mathrm{.}79$

The Free Cash Flow $($FCF$)$ for $2020$ is $\_\_\_\_\_\_\_\_\_\_\_\_\_$

Your Answer:

Question $2$ options:

Answer