Net cash provided by operating activities is $3.1 million. Planned capital expenditures are $2.5 million. Depreciation expense is $1.3 million per year. What is free cash flow?
A) ($700,000 )
B) $600,000
C) $1,200,000
D) $1,800,000
B
Explanation: B) Net cash provided by operating activities $3.1 million - Planned capital expenditures $2.5 million = $600,000
Business
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The following information is available for the past month for a retail store:
Sales $80,000 Markups $9,000 Markdowns $7,000 Purchases (at cost) $38,800 Purchases (at retail) $107,000 Beginning inventory (at cost) $30,000 Beginning inventory (at retail) $46,000 What is the ending inventory at cost using the conventional retail method? (Round cost-to-retail ratios to four decimal places.) A) $31,853 B) $33,292 C) $27,000 D) $75,000
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