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During the current year, the operations of a shipping company provided net cash flows of $600,000. The company made capital expenditures of $270,000 and paid dividends of $130,000.
A)Compute the company's free cash flow.
B)Compute the company's cash flow adequacy ratio assuming the average maturity value of its long-term debt over the next 5 years is $650,000.
Form Utility
The value added by the process of transforming raw materials into a finished product that is more useful to consumers.
Multitouch
Refers to a technology that enables a device's screen to recognize the presence and location of more than one point of contact simultaneously.
Smartphone
A mobile phone that offers advanced features beyond making calls and sending text messages, including internet access and various applications.
Dick's Sporting Goods
An American sporting goods retail company that sells sports equipment, apparel, footwear, and accessories in stores and online.
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