What is the companys Free Cash Flow (FCF)? Use the information to answer the following questions. XXX,
Question:
What is the company’s Free Cash Flow (FCF)? Use the information to answer the following questions.
XXX, Inc.
Balance Sheet
2008 | 2007 | 2008 | 2007 | ||
Cash | 450 | 200 | Accounts Payable | 1700 | 1500 |
Accounts Receivable | 3600 | 2500 | Notes Payable | 1200 | 500 |
Inventory | 3200 | 2000 | Total CL | 2900 | 2000 |
Total CA | 7250 | 4700 | Long Term Debt | 3970 | 2000 |
Gross Fixed Assets | 7200 | 5500 | Common Stock | 3100 | 3000 |
Less Acc. Depreciation | 1400 | 1200 | Retained Earnings | 3080 | 2000 |
Net Fixed Assets | 5800 | 4300 | Total Equities | 6180 | 5000 |
Total Assets | 13050 | 9000 | Total Liab. & O.E. | 13050 | 9000 |
XXX, Inc.
Income Statement
2008 | |
EBITDA | 3300 |
Depreciation | 200 |
EBIT | 3100 |
Interest Expense | 300 |
EBT | 2800 |
Taxes | 1120 |
Net Income | 1680 |
Dividend Paid | 600 |
What is the 2008 Net Operating Working Capital? What is the 2007 NOWC?
Select one:
a. 2350; 1200
b. 4350; 2700
c. 6660; 4200
d. 1150; 700
e. 5550; 3200
Continued from the previous question. What is the 2008 Free Cash Flow?
Select one:
a. +1990
b. -1990
c. -1590
d. +1590
e. -2400
Continued from the previous question. What is the 2008 total invested capital? What is the 2007 TIC?
Select one:
a. 12210; 8500
b. 9550; 6700
c. 10150; 7000
d. 11350; 7500
e. 8350; 6200
Continued from the previous question. Assume the after-tax cost of capital is 10%. What is the 2008 EVA?
Select one:
a. +1680
b. + 725
c. +1125
d. -1125
e. - 725
Intermediate Accounting Reporting and Analysis
ISBN: 978-1285453828
2nd edition
Authors: James M. Wahlen, Jefferson P. Jones, Donald Pagach