Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Income Statements: 2012 2013 Sales $3,100 $1,300 Operating costs excluding depreciation 1,250 1,000 $300 EBITDA $1,850 Depreciation and amortization 100 75 BIT $225 $1,750 62

image text in transcribed

Income Statements: 2012 2013 Sales $3,100 $1,300 Operating costs excluding depreciation 1,250 1,000 $300 EBITDA $1,850 Depreciation and amortization 100 75 BIT $225 $1,750 62 Interest 45 EBT $1,688 $180 Taxes (40%) 675 72 Net income $108 $1,013 $53 Dividends paid $48 Addition to retained earnings $600 $60 Shares outstanding 100 100 Price $25.00 $22.50 WACC 10.00% he balance in the firm's cash and equivalents account is needed for operations and is not considered "excess" cash. Using the financial statements given above, what is Rosnan's 2013 free cash flow (FCF)? Use a minus sign to indicate a negative FCThat's Incorrect 300

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Value In Due Diligence Contemporary Strategies For Merger And Acquisition Success

Authors: Ronald Gleich, Gordana Kierans

1st Edition

1138358576, 978-1138358577

More Books

Students also viewed these Finance questions