Calculate free cash flow for $2021$ for Monarch Textiles, Incorporated, based on the financial information that follows. Assume that all current liabilities are non$-$interest$-$bearing liabilities and that no fixed assets were sold or disposed of during $2021.$

Monarch Textiles, Incorporated $($$ thousands$)$

Income statement Selected balance sheet items

$202120202021$

Sales $1,250$ Current assets $350475$

Cost of sales $730$ Net fixed assets $120240$

Operating expenses $110$ Current liabilities $225305$

Depreciation $60$

Interest expense $50$

Earnings before taxes $300$

Tax $120$

Net income $180$

Note: Round your answer to the $1000$s place.

Answer rating: 100% (QA)

To calculate the free cash flow FCF for 2021 we need to use the following formula FCFOperating... View the full answer