Arlington Corporation had EBIT this year of $41,299. The firm's depreciation expense was $9,592, and its tax rate was 36%. Arlington had a net fixed asset balance of $70,725 last year, and $50,107 this year. The company had current assets and operating current liabilities last year of $84,080 and $54,232, respectively. The current assets and operating current liabilities this year are $91,901 and $50,455, respectively. What is Arlington's Free Cash Flow for the year?

Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter6: Accounting For Financial Management
Section: Chapter Questions
Problem 4P: Talbot Enterprises recently reported an EBITDA of $8 million and net income of $2.4 million. It had...
icon
Related questions
Question

What is arlingtons free cash flow for the year.?

Arlington Corporation had EBIT this year of $41,299.
The firm's depreciation expense was $9,592, and its
tax rate was 36%. Arlington had a net fixed asset
balance of $70,725 last year, and $50,107 this year.
The company had current assets and operating
current liabilities last year of $84,080 and $54,232,
respectively. The current assets and operating
current liabilities this year are $91,901 and $50,455,
respectively. What is Arlington's Free Cash Flow for
the year?
Transcribed Image Text:Arlington Corporation had EBIT this year of $41,299. The firm's depreciation expense was $9,592, and its tax rate was 36%. Arlington had a net fixed asset balance of $70,725 last year, and $50,107 this year. The company had current assets and operating current liabilities last year of $84,080 and $54,232, respectively. The current assets and operating current liabilities this year are $91,901 and $50,455, respectively. What is Arlington's Free Cash Flow for the year?
Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Intermediate Financial Management (MindTap Course…
Intermediate Financial Management (MindTap Course…
Finance
ISBN:
9781337395083
Author:
Eugene F. Brigham, Phillip R. Daves
Publisher:
Cengage Learning