You are considering an investment in Hayek Ltd. and want to evaluate the firm's free cash flow. From the income statement, you see that Hayek earned an EBIT of $19.45 million, paid taxes of $4.10 million, and its depreciation expense was $6.50 million. Hayek's gross fixed assets increased by $9.30 million from 2022 to 2023. The firm's current assets increased by $5.80 million and spontaneous current liabilities increased by $2.50 million. What is Hayek's operating cash flow, investment in operating capital, and free cash flow for 2023, respectively in millions?

You are considering an investment in Hayek Ltd. and want to evaluate the firm's free cash flow. From the income statement, you see that Hayek earned an EBIT of $19.45 million, paid taxes of $4.10 million, and its depreciation expense was $6.50 million. Hayek's gross fixed assets increased by $9.30 million from 2022 to 2023. The firm's current assets increased by $5.80 million and spontaneous current liabilities increased by $2.50 million. What is Hayek's operating cash flow, investment in operating capital, and free cash flow for 2023, respectively in millions?

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 11P: The Berndt Corporation expects to have sales of 12 million. Costs other than depreciation are...

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