As a newly hired financial analyst at HappyLand Software your boss has asked you to determine the firm’s free cash flow for the coming year (A+)

As a newly hired financial analyst at HappyLand Software your boss has asked you to determine the firm’s free cash flow for the coming year. HappyLand\’s earnings are $1,715,174 and expected to grow by 5%. Accounts receivables are expected to change by $7,631, while accounts payable and inventory are expected to change by $-6,011 and $-5,940 respectively. HappyLand’s depreciation expense is to remain at $14,982. The firm’s interest expense is to remain the same in the coming year at 13,115. HappyLand\’s is expected to invest $56,126 in capital equipment next year. What is HappyLand’s expected free cash flow for next year, if the firm\’s average tax rate is 25%

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