medium · Principles of Finance financial-statements-markets-wc

Given the following data: Net Income 500M, Depreciation 100M, Increase in Accounts Receivable 50M, Decrease in Inventory 20M, and Increase in Accounts Payable 30M. Interest Expense is 40M and the tax rate is 25%.

What is the Free Cash Flow to the Firm (FCFF)?

  1. 500M
  2. 530M
  3. 600M
  4. $630M

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