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Randell Corporation's income statement for the year 2012 is given below: Sales $15,000,000 Operating costs excluding depreciation 8,000,000 EBITDA $7,000,000 Depreciation 2.500.000 EBIT $ 4,500,000

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Randell Corporation's income statement for the year 2012 is given below: Sales $15,000,000 Operating costs excluding depreciation 8,000,000 EBITDA $7,000,000 Depreciation 2.500.000 EBIT $ 4,500,000 Interest 1,000,000 EBT $ 3,500,000 Taxes (459) 1.575.000 Net income $ 1.925.000 Calculate Randell's free cash flow for 2012 if it spent $2,400,000 on new fixed assets and net operating working capital increased by $200,000 O a $4,400,000 b. $2,775,000 OC. $1,925,000 O d. S-2,625,000 Oe. $2,375,000

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