Not really sure where to post this, but I have been trying to self-teach personal and corporate finance using an old textbook i bought off the internet. At the end of each chapter is a 'test yourself' section but unfortunately does not have the answers. Is it possible anyone can solve this question and explain how it is done. I tray and factor out depreciation to use the FCF equation but i never get one of these answers.
A firm recently reported EBITDA of $3.95 million, depreciation of $1.20 million, and had a tax rate of 40%. The firm's expenditures on fixed assets and net operating working capital totaled $1.2 million. How much was its free cash flow, in millions? $1.93m $1.03m
$1.17m $0.45m
-$0.43m
Submitted July 27, 2017 at 11:45PM by mycocopebbles http://ift.tt/2u3orj7
