(SOLVED) Cellular Access, Inc., a cellular telephone service provider reported net income of $251.2 million for the most recent fiscal year.

Discipline: Finance

Type of Paper: Question-Answer

Academic Level: Undergrad. (yrs 1-2)

Paper Format: APA

Pages: 1 Words: 33

Question

Cellular Access, Inc., a cellular telephone service provider reported net income of $251.2 million for the most recent fiscal year. The firm had depreciation expenses of $108.9 million, capital expenditures of $193.4 million, and no interest expenses. Net working capital increased by $10.9 million.


Calculate the free cash flow for Cellular Access for the most recent fiscal year.


The free cash flow is ________$ million. (Round to one decimal place.)


Expert Solution Preview


Free cash flow = Net Income + Depreciation expense - Capital expenditure - Increase in net working capital

=