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The following table shows an abbreviated income statement and balance sheet for Quick Burger Corporation for 2016. INCOME STATEMENT OF QUICK BURGER CORP., 2016 (Figures

The following table shows an abbreviated income statement and balance sheet for Quick Burger Corporation for 2016.

INCOME STATEMENT OF QUICK BURGER CORP., 2016
(Figures in $ millions)
Net sales $ 27,584
Costs 17,586
Depreciation 1,419
Earnings before interest and taxes (EBIT) $ 8,579
Interest expense 534
Pretax income 8,045
Taxes 2,816
Net income $ 5,229

BALANCE SHEET OF QUICK BURGER CORP., 2016
(Figures in $ millions)
Assets 2016 2015 Liabilities and Shareholders' Equity 2016 2015
Current assets Current liabilities
Cash and marketable securities 2,353 2,353 Debt due for repayment 418
Receivables 1,392 1,352 Accounts payable 3,420 3,160
Inventories 139 134 Total current liabilities 3,420 3,578
Other current assets 1,106 633
Total current assets 4,990 4,472
Fixed assets Long-term debt 13,650 12,151
Property, plant, and equipment 24,694 22,852 Other long-term liabilities 3,074 2,974
Intangible assets (goodwill) 2,821 2,670 Total liabilities 20,144 18,703
Other long-term assets 3,000 3,116 Total shareholders equity 15,361 14,407
Total assets 35,505 33,110 Total liabilities and shareholders equity 35,505 33,110

In 2016 Quick Burger had capital expenditures of $3,066.

a. Calculate Quick Burgers free cash flow in 2016. (Enter your answer in millions.)

b. If Quick Burger was financed entirely by equity, how much more tax would the company have paid? (Assume a tax rate of 35%.) (Do not round intermediate calculations. Enter your answer in millions rounded to 2 decimal places.)

c. What would the companys free cash flow have been if it was all-equity financed?

Note: Qestion A, is not 3,386, Question B is 186.90, and Question C, is not 3199.

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