a. A firm generated $410 million in free cash flow and spent $340 million of this paying

Question:

a. A firm generated $410 million in free cash flow and spent $340 million of this paying net interest and buying down its net debt. What was the net payout to shareholders?

b. The same firm issued shares for $50 million and there were no share repurchases. What was the cash dividend paid to shareholders?

Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their... Free Cash Flow
Free cash flow (FCF) represents the cash a company generates after accounting for cash outflows to support operations and maintain its capital assets. Unlike earnings or net income, free cash flow is a measure of profitability that excludes the...