Problem 3-17 FREE CASH FLOW

Financial information for Powell Panther Corporation is shown below:

Powell Panther Corporation: Income Statements for Year Ending December 31 (Millions of Dollars)

	2016	2015
Sales	$3,335.0	$2,900.0
Operating costs excluding depreciation and amortization	2,835.0	2,465.0
EBITDA	$500.0	$435.0
Depreciation and amortization	97.0	81.0
Earnings before interest and taxes (EBIT)	$403.0	$354.0
Interest	73.0	64.0
Earnings before taxes (EBT)	$330.0	$290.0
Taxes (40%)	132.0	116.0
Net income	$198.0	$174.0
Common dividends	$178.0	$139.0

Powell Panther Corporation: Balance Sheets as of December 31 (Millions of Dollars)

	2016	2015
Assets
Cash and equivalents	$46.0	$38.0
Accounts receivable	566.0	435.0
Inventories	500.0	435.0
Total current assets	$1,112.0	$908.0
Net plant and equipment	974.0	812.0
Total assets	$2,086.0	$1,720.0
Liabilities and Equity
Accounts payable	$334.0	$290.0
Accruals	226.0	174.0
Notes payable	67.0	58.0
Total current liabilities	$627.0	$522.0
Long-term bonds	667.0	580.0
Total liabilities	$1,294.0	$1,102.0
Common stock	719.0	565.0
Retained earnings	73.0	53.0
Common equity	$792.0	$618.0
Total liabilities and equity	$2,086.0	$1,720.0

Write out your answers completely. For example, 25 million should be entered as 25,000,000.

What was net operating working capital for 2015 and 2016? 2015: $ 444000000 2016: $ 552000000

What was the 2016 free cash flow?

??????????????