Question: A)Assume the following: CFFA = -$20; Dividends = $4; Long-term debt increased in the amount of $7; Interest paid = $2. According to the Cash

A)Assume the following: CFFA = -$20; Dividends = $4; Long-term debt increased in the amount of $7; Interest paid = $2. According to the Cash Flow Identity, did this company (a) sell additional stock or (b) repurchase stock and in what amount?
B) Assume the following: CFFA = $5; Dividends = $2; Additional $15 of Stock sold; Interest paid = $6. According to the Cash Flow Identity, did this company (a) add to (b) reduce its long-term debt and in what amount?
C) Given the following: OCF = $50; NWC = $12;
NFA = $15; Latest depreciation expense = $8;
How much does this company have available to send to its investors?
by what names is this measure known?

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!