Assets: Cash Accounts receivable Inventories Total current assets Net fixed assets Total assets Liabilities and equity: Accounts payable Notes payable Total current liabilities. Long-term debt Common stock Retained earnings Total common equity Total liabilities and equity $ $ $ 2015 $ $ 200,000 864,000 2,000,000 3,064,000 6,000,000 9,064,000 $ 1,400,000 1,600,000 $3,000,000 2,400,000 3,000,000 664,000 3,664,000 9,064,000 $ 2014 170,000 700,000 1,400,000 $2,270,000 5,600,000 $7,870,000 $1,090,000 1,800,000 $2,890,000 2,400,000 2,000,000 580,000 $2,580,000 $7,870,000 If a firm has EBIT = 1,350,000 and 40% Tax rate, calculate Free Cash Flow.
Assets: Cash Accounts receivable Inventories Total current assets Net fixed assets Total assets Liabilities and equity: Accounts payable Notes payable Total current liabilities. Long-term debt Common stock Retained earnings Total common equity Total liabilities and equity $ $ $ 2015 $ $ 200,000 864,000 2,000,000 3,064,000 6,000,000 9,064,000 $ 1,400,000 1,600,000 $3,000,000 2,400,000 3,000,000 664,000 3,664,000 9,064,000 $ 2014 170,000 700,000 1,400,000 $2,270,000 5,600,000 $7,870,000 $1,090,000 1,800,000 $2,890,000 2,400,000 2,000,000 580,000 $2,580,000 $7,870,000 If a firm has EBIT = 1,350,000 and 40% Tax rate, calculate Free Cash Flow.
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter12: Fainancial Statement Analysis
Section: Chapter Questions
Problem 16MCQ
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