Numerical Problems

A company has EBIT of $$30$ million, depreciation of $$5$ million and a $25\%$

tax rate. It needs to spend $$10$ million on new fixed assets and $$15$ million

to increase its operating current assets. It expects its accounts payable

to increase by $$2$ million and its accruals to increase by $$3$ million and

its notes payable to increase by $$8$ million. The firm's current liabilities

consist of only account payable, accruals and notes payable. What is its

free cash flow?