Answered step by step
Verified Expert Solution
Question
1 Approved Answer
please help, I don't understand how I got it wrong. I tried this process by doing this: Sales = $50 Cash Expenses = $30 Interest
please help, I don't understand how I got it wrong. I tried this process by doing this:
Sales = $50
Cash Expenses = $30
Interest paid = $3
Taxes = $1
Dividends paid = $3
Capital Expenditures = $8
Free cash flow = Sales - Cash Expenses - Interest Paid - Taxes - Dividend Paid - Capital Expenditures
= $50 - $30 - $3 - $1 - $3 - $8
= $5
In 2021, Johnson Controls reported the following accounting items (in millions of dollars): Sales =$50 Cash Expenses =$30 Depreciation =$5 Interest Paid =$3 Taxes =$1 Dividends Paid =$3 Capital Expenditures =$8 What were the firm's Free Cash Flows in 2021? (Note: Enter your answer without the millions or the dollar sign, so if you think the answer is $5 million, just enter 5)Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started