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You are using the value-based management model. Based on the following data, what is the free cash flow for year 1? Year 1 Revenue 665.00

You are using the value-based management model. Based on the following data, what is the free cash flow for year 1?

Year

1

Revenue

665.00

Fixed costs

80.00

Variable costs

250.00

Additional investment in NWC

5.00

Additional investment in operating long-term assets

50.00

Depreciation

60.00

Tax rate

0.40

Select one:

a. $180

b. $185

c. $175

d. $170

e. $165

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