Problem 2-11 Free Cash Flow (LG2-5) You are considering an investment in Fields and Struthers,...
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Problem 2-11 Free Cash Flow (LG2-5) You are considering an investment in Fields and Struthers, Incorporated, and want to evaluate the firm's free cash flow From the income statement, you see that Fieids and Struthers earned an EBIT of $90 million, had a tax rate of 21 percent, and its depreciation expense was $10 million. Fieids and Struthers's gross fixed assets increased by $56 million from last year to this year. The firm's current assets increased by $44 million and spontaneous current liabilities increased by $36 million. Calculate Fields and Struthers's NOPAT. Note: Enter your answer in millions of dollers rounded to 2 decimal ploces. (i.e., Enter 5,500,000 as 5.50.) Calculate Fields and Struthers's operating cash flow Note: Enter your answer in millions of dollars rounded to 2 decimal places. (i.e., Enter 5,500,000 as 5.50.) Galculate Fields and Struthers's investment in operating capital Note: Enter your onswer in millions of dollors. (i.e., Enter 10,000,000 as 10.) Caiculate Flelds and Struthers's free cash fiow Note: Enter your answer in millions of dollars rounded to 2 decimal ploces. (i.e., Enter 5,500,000 os 5.50 .)
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