XYZ Corp recently reported $8,000 of sales, $5,750 of operating costs other than depreciation, and $700...

XYZ Corp recently reported $8,000 of sales, $5,750 of operating costs other than depreciation, and $700 of depreciation. The company had no amortization charges, it had $3,000 of outstanding bonds that carry a 6% interest rate, and its federal-plus-state income tax rate was 30%. In order to sustain its operations and thus generate sales and cash flows in the future, the firm was required to make $1,250 of capital expenditures on new fixed assets and to invest $300 in net operating working capital. By how much did the firm's net income exceed its free cash flow?

Show your answer in this format: $123.45

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jeff jeffy answered 2 weeks ago

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