Question: Lucent Technology is considering seller-finance for an existing customer with the following information. The net income is $100MM. The depreciation cost is $15MM. What is
Lucent Technology is considering seller-finance for an existing customer with the following information. The net income is $100MM. The depreciation cost is $15MM. What is the subject firm's cash flow from operations (CFO)?
Decrease in accounts receivable $30 MM
Issuance of new stocks 17
Proceeds from the sale of fixed assets 5
Decrease in inventory 17
Increase in accounts payable 10
Dividends paid out 35
Decrease in wages payable 5
a). 155
b). 146
C).198
D).177
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