Net change in working capital is Net change in working capital is$3,200.Net capital spending is $750.EBIT is $1,450.Depreciation is $690.Taxes are $500.Find Operating Cash Flow (OCF).

we use the formula:OCF = EBIT + Depreciation - Taxes - Net Change in Working CapitalGiven:EBIT =…

Answered: Net change in working capital is…

Entrepreneurial Finance

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ISBN:9781337635653

Author:Leach

Publisher:Leach

Chapter14: Security Structures And Determining Enterprise Values

Section: Chapter Questions

Problem 8EP

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Net change in working capital is $3,200. Net capital spending is $750. EBIT is $1,450. Depreciation is $690. Taxes are $500. Find Operating Cash Flow (OCF).