Asked by Elijah Filsinger on May 18, 2024
Verified
Hogan Enterprises reported cash flow from operations of $275000. The company made capital expenditures of $110000 and paid dividends of $35000.
Instructions
Compute free cash flow.
Free Cash Flow
The amount of cash a company generates after accounting for cash outflows to support operations and maintain capital assets. It's an important measure of financial health.
Capital Expenditures
Funds used by a company to acquire or upgrade physical assets such as property, industrial buildings, or equipment to improve long-term operations.
- Calculate free cash flow.
Verified Answer
LM
Learning Objectives
- Calculate free cash flow.