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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 $ 27,579
Costs 17,581
Depreciation 1,414
Earnings before interest and taxes (EBIT) $ 8,584
Interest expense 529
Pretax income 8,055
Taxes 2,638
Net income $ 5,417

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 2,348 2,348 Debt due for repayment 403
Receivables 1,387 1,347 Accounts payable 3,415 3,155
Inventories 134 129 Total current liabilities 3,415 3,558
Other current assets 1,101 628
Total current assets 4,970 4,452
Fixed assets Long-term debt 13,645 12,146
Property, plant, and equipment 24,689 22,847 Other long-term liabilities 3,069 2,969
Intangible assets (goodwill) 2,816 2,665 Total liabilities 20,129 18,673
Other long-term assets 2,995 3,111 Total shareholders equity 15,341 14,402
Total assets 35,470 33,075 Total liabilities and shareholders equity 35,470 33,075

In 2016 Quick Burger had capital expenditures of $3,061.

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?

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