Free Cash Flow Iron Ore Corporation reported free cash flows for 2022 of $114 million and Investment in operating capital of $184 million. Iron Ore listed $34 million in depreciation expense and $56 million in taxes on its 2022 Income statement. What was Iron Ore's 2022 EBIT? Multiple Choice $298 million $388 million $320 million $148 million ✕
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- Kirkwood Corp has the following financial information: • EBITDA = $200 • Interest Expense = $20 • Tax Rate = 30% • Depreciation/ Amortization = $50 • Capital Expenditures = $30 • Change in NWC = = $15 Calculate operating free cash flow. (Note this cash flow is sometimes referred to as Enterprise FCF or Unlevered FCF) Round to nearest whole numberMultiple choice: Assuming that SN North Company has the following net cash inflow: P55,000, P55,000, P55,000, and P55,000 for years 1, 2, 3, and 4, respectively. Assuming further that the company’s cost of capital is 25% for a net cost of investment of P120,000, the net present value (rounded off) is equivalent to: • P15,000• P20,000• P 5,000• P10,000Operating Cash FlowDuring 2020 your corporation has net sales of $9,625, cost of goods sold of $5,225, depreciation expense of $1,890, and tax expense of $581. What is the 2020 operating cash flow for your corporation? Please show your formula and calculations in the space provided.
- Carter Swimming Pools has $16 million in net operating profit after taxes (NOPAT) in the current year. Carter has $12 million in total net operating assets in the current year and had $10 million in the previous year. What is its free cash flow?The Berndt Corporation expects to have sales of 12 million. Costs other than depreciation are expected to be 75% of sales, and depreciation is expected to be 1.5 million. All sales revenues will be collected in cash, and costs other than depreciation must be paid for during the year. Berndts federal-plus-state tax rate is 40%. Berndt has no debt. a. Set up an income statement. What is Berndts expected net income? Its expected net cash flow? b. Suppose Congress changed the tax laws so that Berndts depreciation expenses doubled. No changes in operations occurred. What would happen to reported profit and to net cash flow? c. Now suppose that Congress changed the tax laws such that, instead of doubling Berndts depreciation, it was reduced by 50%. How would profit and net cash flow be affected? d. If this were your company, would you prefer Congress to cause your depreciation expense to be doubled or halved? Why?Net Present Value Method, Present Value Index, and Analysis for a service company Continental Railroad Company is evaluating three capital investment proposals by using the net present value method. Relevant data related to the proposals are summarized as follows: MaintenanceEquipment RampFacilities ComputerNetwork Amount to be invested $591,053 $351,873 $159,991 Annual net cash flows: Year 1 251,000 171,000 103,000 Year 2 233,000 154,000 71,000 Year 3 213,000 137,000 52,000 Present Value of $1 at Compound Interest Year 6% 10% 12% 15% 20% 1 0.943 0.909 0.893 0.870 0.833 2 0.890 0.826 0.797 0.756 0.694 3 0.840 0.751 0.712 0.658 0.579 4 0.792 0.683 0.636 0.572 0.482 5 0.747 0.621 0.567 0.497 0.402 6 0.705 0.564 0.507 0.432 0.335 7 0.665 0.513 0.452 0.376 0.279 8 0.627 0.467 0.404 0.327 0.233 9 0.592 0.424 0.361 0.284 0.194 10 0.558 0.386 0.322 0.247 0.162 Required: 1. Assuming that the desired rate…
- What is Bulldogs Inc.’s free cash flow as of December 31, 2021? A. 85 million B. 145 million C. 195 million D. none of the choices E. 170 millionQUESTION 1 Given the following information Please calculate the Free Cash Flow to Equity EBIT Net Income Tax rate Depreciation Capital expenditure 2207.9 1513.5 21.80% 1807.1 954.6 Change in non-cash Working Capital -2176.3 Change in long term debt Interest Expense Liabilities Total Long Term debt Total Assets 4755 5470 3902 5628 927.6 395.3 24511.8 13220.6 26168.2What are the amounts of total net operating capital for both years? NOWC+Net Fixed assets= operating capital Op.capital 13= $3,300,000,000+$3,850,000,000= $7.15 billion Op.capital 12= $3,000,000,000 + $3,500,000,000= $6.billion What is the free cash flow for 2013? NOPAT-NET INVESTMENT IN OPERATING CAPITAL=FCF Operating capital of 2013 - operating capital of 2012 $7,150-$6,500= $650 million $756 million - $650 million= $106 million What is the ROIC for 2013? NOPAT/ Invested capital= ROIC ROIC=756/6,216 ROIC=12% Is this steps correct
- ok ences Mc Graw Hill Graff, Incorporated, has sales of $50,000, costs of $23,000, depreciation expense of $2,250, and interest expense of $2,000. If the tax rate is 23 percent, what is the operating cash flow, or OCF? (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.) Operating cash flow 2 #3 3 89 $ 4 000 000 % 5 8Sales Operating Income Total Assets (investment) Target Rate of Return (Cost of Capital) $1,520,437 $77,792 $500,251 12% What is return on investment? Input your answer to 1 decimal place. For example if you calculate.1892 enter 18.9.Pergunta 11 Use the information for the question(s) below. Omicron Industries Market Value Balance Sheet (5 Millions) and Cost of Capital Assets Cash Other Assets 0 500 x Liabilities $50.00 million $67.25 million $38.50 million $10.25 million $75.50 million Debt 200 Equity 300 Omicron Industries New Project Free Cash Flows (Millions) 0 3 40 Year Free Cash Flows (100) The debt capacity for Omicron's new project in year O is closest to: 2 50 Cost of Capital ▷ Exibir comentários da pergunta 11 TC 60 Det 6% Equity 12%
