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The following table shows an abbreviated income statement and balance sheet for McDonald's Corporation for 2 0 1 2 . INCOME STATEMENT OF MCDONALD S
The following table shows an abbreviated income statement and balance sheet for McDonald's Corporation for
INCOME STATEMENT OF MCDONALDS CORP.,
Figures in $ millions
Net sales
Costs
Depreciation
Earnings before interest and taxes EBIT
Interest expense
Pretax income
Taxes
Net income
BALANCE SHEET OF MCDONALDS CORP.,
Figures in $ millions
Assets Liabilities and Shareholders' equity
Current assets Current liabilities
Cash and marketable securities Debt due for repayment
Receivables Accounts payable
Inventories Total current liabilities
Other current assets
Total current assets
Fixed assets Longterm debt
Property, plant, and equipment Other longterm liabilities
Intangible assets goodwill Total liabilities
Other longterm assets Total shareholders equity
Total assets Total liabilities and shareholders equity
In McDonalds had capital expenditures of $
a Calculate McDonalds free cash flow in Enter your answer in millions.
Free cash flow $
million
b
If McDonalds was financed entirely by equity, how much more tax would the company have paid? Assume a tax rate of on the revised pretax income.Do not round intermediate calculations. Enter your answer in millions rounded to the nearest whole number.
Additional tax $
million
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