You know that a firm's EBIT(1-t) is $765,000, with CAPEX of $690,000, after-tax interest of $45,000, depreciation

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You know that a firm's EBIT(1-t) is $765,000, with CAPEX of $690,000, after-tax interest of $45,000, depreciation of $520,000 and an increase in working capital of $430,000 for the same year. What is the Free Cash Flow for that year?

- A. $1,025,000

- B. $165,000

- C. $505,000

Related Book For answer-question

Fundamentals of Corporate Finance

ISBN: 978-0133400694

1st canadian edition

Authors: Jonathan Berk, Peter DeMarzo, Jarrad Harford, David A. Stangeland, Andras Marosi

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Posted Date: May 11, 2024 09:42 AM

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You know that a firm's EBIT(1-t) is $765,000, with CAPEX of $690,000, after-tax interest of $45,000, depreciation

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A free cash flow question Step 1 Calculate the EBIT EBIT 765000 Step 2 Calculate the Net Income ... View the full answer

Fundamentals of Corporate Finance

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