Question

The net cash inflow from operating activities is $200,000; cash received from issuing stock is $150,000; cash paid for capital expenditures is $90,000; cash paid for bonds held as an investment is $50,000; and cash paid for dividends is $20,000. how much is free cash flow?

Answer 1

The free cash flow $180,000. 200,000+ 150,000-(90,000+50,000+20,000) =
350,000-170,000= 180,000