Based on the Following, What Is Free Cash Flow

question 114

Short Answer

Based on the following, what is free cash flow?
Operations includes $2,000 for depreciation. Investing includes the purchase of a replacement asset for $100,000 and the sale of the one used in production, which is now obsolete, for $70,000. Financing is made up of $70,000 of borrowing and $25,000 of dividends paid.

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