Your firm has the following income statement items: sales of $52,000,000; income tax of $1,880,000; operating expenses of $9,000,000; cost of goods sold of $36,000,000; depreciation and amortization of $1,500,000; and interest expense of $800,000. For purposes of determining free cash flow, what is the amount of the firm's after-tax cash flow from operations? O $3,600,000 O $5,120,000 O $1,008,000 O $750,000
Your firm has the following income statement items: sales of $52,000,000; income tax of $1,880,000; operating expenses of $9,000,000; cost of goods sold of $36,000,000; depreciation and amortization of $1,500,000; and interest expense of $800,000. For purposes of determining free cash flow, what is the amount of the firm's after-tax cash flow from operations? O $3,600,000 O $5,120,000 O $1,008,000 O $750,000
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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Transcribed Image Text:Your firm has the following income statement items: sales of $52,000,000; income tax
of $1,880,000; operating expenses of $9,000,000; cost of goods sold of $36,000,000;
depreciation and amortization of $1,500,000; and interest expense of $800,000. For
purposes of determining free cash flow, what is the amount of the fırm's after-tax
cash flow from operations?
O $3,600,000
O $5,120,000
O $1,008,000
O $750,000
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