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Business, 09.11.2019 07:31 Emorej22

Johnson battery systems recently reported $9,000 of sales, $6,000 of operating costs other than depreciation, and $1,500 of depreciation. the company had no amortization charges, it had $4,000 of bonds that carry a 7% interest rate, and its federal-plus-state income tax rate was 40%. in order to sustain its operations and thus generate sales and cash flows in the future, the firm was required to make $800 of capital expenditures on new fixed assets and to invest $500 in net operating working capital. what was its free cash flow?

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