Sydney’s Shrimpboat's net capital spending was $350,000 this year. The firm also reduced its NWC by $250,000. Their interest expense was $75,000 and the firm net redeemed $20,000 in long term debt. The company does not pay a dividend and did not issue any stock, but did repurchase $50,000 of common stock. What was the firm’s OCF for the year? a. $ 95,000 b. $245,000 c. $275,000 d. $100,000 e. $145,000
Sydney’s Shrimpboat's net capital spending was $350,000 this year. The firm also reduced its NWC by $250,000. Their interest expense was $75,000 and the firm net redeemed $20,000 in long term debt. The company does not pay a dividend and did not issue any stock, but did repurchase $50,000 of common stock. What was the firm’s OCF for the year? a. $ 95,000 b. $245,000 c. $275,000 d. $100,000 e. $145,000
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
Section: Chapter Questions
Problem 1PS
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Sydney’s Shrimpboat's net capital spending was $350,000 this year. The firm also reduced its NWC by $250,000. Their interest expense was $75,000 and the firm net redeemed $20,000 in long term debt. The company does not pay a dividend and did not issue any stock, but did repurchase $50,000 of common stock. What was the firm’s OCF for the year?
a.
$ 95,000
b.
$245,000
c.
$275,000
d.
$100,000
e.
$145,000
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