A Firm Reports That in a Certain Year It Had

question 14

Multiple Choice

A firm reports that in a certain year it had unlevered net income of $4.5 million,a capital cost allowance (CCA) deduction of $2.8 million,capital expenditures of $2.3 million,and net working capital decreased by $1.5 million.What is the firm's free cash flow for that year?

• A)$2.4 million
• B)$6.5 million
• C)$8.1 million
• D)$11.1 million
• E)$5.5 million

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Definitions:

Frequency Distribution

A summary of data showing the number of instances that each value occurs.

Weights of Police Officers

The distribution of body weights among individuals serving in a police force.

Class Intervals

Specific ranges within a dataset that are used to group data into classes for the purpose of creating frequency distributions or histograms.

Histogram

A graphical representation of data using bars of different heights to show the frequency of data in adjacent intervals.