Assume a corporation has earnings before depreciation and taxes of $126,000, depreciation of $42,000 and that it is in a 35 percent tax bracket. Compute its cash flow using the following format. (Input all answers as positive values.) Earnings before depreciation and taxes Depreciation Earnings before taxes Taxes Earnings after taxes Depreciation Cash flow $ $ $ 0 0 0

Assume a corporation has earnings before depreciation and taxes of $126,000, depreciation of $42,000 and that it is in a 35 percent tax bracket. Compute its cash flow using the following format. (Input all answers as positive values.) Earnings before depreciation and taxes Depreciation Earnings before taxes Taxes Earnings after taxes Depreciation Cash flow $ $ $ 0 0 0

Entrepreneurial Finance

6th Edition

ISBN:9781337635653

Author:Leach

Publisher:Leach

Chapter14: Security Structures And Determining Enterprise Values

Section: Chapter Questions

Problem 8EP

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Calculate the Free Cash Flow for Polaris. Item EBITDA Depreciation Tax Rate, T Current Assets Current Liabilities CAPEX Polaris Inc. Selected Financial Information ($000's) Year 0 19,324 17,147 Year 1 10,000 1,188 31% 15,520 15,823 2,078
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