Question 2: Merill Company manufactures SIM cards for cell phones. Based on the following information, what are the company's free cash flows to the firm (FCFF) for the year ended December 31, Year 7? December 31 Year 7 Year 6 Cash $16,04 $13,704 Net operating working capital $6,928 $6,384 Net long-term operating assets $9,160 $7,720 Net nonoperating obligations (NNO) $2,056 $1,640 Net operating profit after tax (NOPAT) $4,896 $4,392

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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Question 2: Merill Company manufactures SIM cards for cell phones. Based on the following information, what are the company's free cash flows to the firm (FCFF) for the year ended December 31, Year 7?

 

December 31

Year 7

Year 6

Cash

$16,04

$13,704

Net operating working capital

$6,928

$6,384

Net long-term operating assets

$9,160

$7,720

Net nonoperating obligations (NNO)

$2,056

$1,640

Net operating profit after tax (NOPAT)

$4,896

$4,392

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