Question: 2. Financial data for Intel is given below for 2014 EBIT 800,000 Depreciation 30,000 Change in working capital (10,000) Net capital expenditures 15,000 Tax rate

2. Financial data for Intel is given below for 2014

EBIT 800,000

Depreciation 30,000

Change in working capital (10,000)

Net capital expenditures 15,000

Tax rate 35%

What is the free cash flow?

800,000*(1-.35)+30,000-10,000-15,000=525,000

Can someone please explain why my answer is wrong?

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