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Vladimir79 [104]
3 years ago
7

Company XYZ, an all-equity firm, reported incremental revenues (net income) of $370 million for the most recent year. The firm h

ad depreciation expenses of $144 million and capital expenditures of $194 million. The company also had an increase in net working capital of $20 million. What is the free cash flow?
Business
1 answer:
MatroZZZ [7]3 years ago
5 0

Answer:

$300 million.

Explanation:

Because company XYZ is an all-equity firm, so there is no interest expenses incurred by the firm. Free cashflow to firm is calculated as below:

Free cashflow to firm = Net income + Interest expense x (1 - Tax rate) + Depreciation - Working capital investment  - Capital expenditure

                                   = 370 + 0 x (1 - Tax rate) + 144 - 20 - 194

                                   = 370 + 0 + 144 - 20 - 194

                                   = 300

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Marita and Alexandra set up a Limited Partnership. Marita is named General Partner and Alexandra is named Limited Partner. Marit
tresset_1 [31]

Answer:

No

Explanation:

In a partnership form of business ownership, a limited partner enjoys limited liability to the debts of the business. Alexandra is named as a limited partner. He should not participate in the day to day management of the business.

Marita is a general partner and is involved in managing business operations. He has unlimited liabilities to the debts of the business. If Marita embezzles investors' funds, Alexandra is only liable to the extent of his capital contribution. His personal properties cannot be attached to business debts. Alexandra can only be liable if he participates in the management of the business. Marita, on the other hand, is fully responsible for business debts.

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4 years ago
Which of the following actions can be considered good business etiquette?
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The answer is A, switching your cell phone off before you enter a meeting.
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3 years ago
Billy never lets money stay in his pockets, he thinks if it is there he has to spend it. Often he spends it on useless "stuff".
AleksandrR [38]

Answer:

let him put it where he won't see them until It is enough for buying his wants

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3 years ago
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On october 18th of 1980, _______________ checks out the beatles biography one day at a time from a honolulu public library. suff
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<span>On october 18th of 1980, <em>Mark David Chapman </em>checks out the beatles biography one day at a time from a honolulu public library. suffering from a mental illness for over a decade, he is thoroughly convinced that lennon is a hypocrite and a sell out and decides that he must kill lennon.</span>
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Red, Inc., Yellow Corp., and Blue Company each will pay a dividend of $3.65 next year. The growth rate in dividends for all thre
Natali5045456 [20]

The value of each company's shares of stock

Red: $91.25

Yellow:$52.14

Blue: $36.50

Step 1

The constant dividend growth model, which is written as

Pt = Dt (1 + g)/(R - g)

<h3>Step2</h3>

Therefore, the current stock price for each company is:

Price of the red stock is $3.65/(0.08 -0.04) = $91.25.

Price of the yellow stock is $3.65/(0.11 -0.04) = $52.14.

Price of the blue stock is $3.65/(0.14 -0.04) = 36.50.

The stock price falls as the needed return rises. A greater discount rate reduces the present value of cash flows, which is a function of the time value of money. The stock price can be significantly affected by even slight changes in the needed return, which is another crucial point to remember.

learn more about stock price here <u>brainly.com/question/24196193</u>

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