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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 $ 27,573
Costs 17,575
Depreciation 1,408
Earnings before interest and taxes (EBIT) $ 8,590
Interest expense 523
Pretax income 8,067
Taxes 2,823
Net income $ 5,244

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 2,342 2,342 Debt due for repayment 385
Receivables 1,381 1,341 Accounts payable 3,409 3,149
Inventories 128 123 Total current liabilities 3,409 3,534
Other current assets 1,095 622
Total current assets 4,946 4,428
Fixed assets Long-term debt 13,639 12,140
Property, plant, and equipment 24,683 22,841 Other long-term liabilities 3,063 2,963
Intangible assets (goodwill) 2,810 2,659 Total liabilities 20,111 18,637
Other long-term assets 2,989 3,105 Total shareholders equity 15,317 14,396
Total assets 35,428 33,033 Total liabilities and shareholders equity 35,428 33,033

In 2016 Quick Burger had capital expenditures of $3,055.

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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