1. AT&T recently reported (in millions) $8,250 of sales, $5,750 of operating costs other than depreciation,...

Question

Question

1. AT&T recently reported (in millions) $8,250 of sales, $5,750 of operating costs other than depreciation, and $1,100 of dep

Add a comment Improve this question Transcribed image text

Answer 1

Answer #1

Sales	8,250
Operating costs	5,750
Depreciation	1,100
EBIT	1,400
Less: Interest	160
EBT	1,240
Less: Taxes	434
Net Income	806
Add: Depreciation (non-cash expense)	1,100
Less: Capex	1,250
Less: Investment in Working Capital	300
Free cash flow	356

Net Income exceeds free cash flows by $	450	Million

Add a comment

Answer 2

Similar Homework Help Questions

Watson Oil recently reported (in millions) $8,250 of sales, $5,750 of operating costs other than depreciation,...

Watson Oil recently reported (in millions) $8,250 of sales, $5,750 of operating costs other than depreciation, and $1,100 of depreciation. The company had $3,200 of outstanding bonds that carry a 5% . interest rate, and its federal plus state income tax rate was 35%. In order to sustain its operations and thus generate future sales and cash flows, the firm was required to make $1,250 of capital expenditures on new fixed assets and to invest $300 in net operating working...
Houston Pumps recently reported $232,500 of sales, $140,500 of operating costs other than depreciation, and $9,250...

Houston Pumps recently reported $232,500 of sales, $140,500 of operating costs other than depreciation, and $9,250 of depreciation. The company had $35,250 of outstanding bonds that carry a 6.75% interest rate, and its federal-plus-state income tax rate was 35%. In order to sustain its operations and thus generate future sales and cash flows, the firm was required to spend $15,250 to buy new fixed assets and to invest $6,850 in net operating working capital. What was the firm's free cash...
17. A company recently reported it had, in millions, $10,000 of sales, $5,000 of operating costs...

17. A company recently reported it had, in millions, $10,000 of sales, $5,000 of operating costs other than depreciation, and $1,000 of depreciation. The company has $4,000 of outstanding bonds that carry a 5% interest rate, and a federal-plus-state corporate income tax rate of 25%. In order to sustain its operations and thus generate future sales and cash flows, the company was required to make a $2,000 of capital expenditures on new fixed assets and to invest S500 in net...

3. Last year, LTD limited. reported $11,250 of sales, $4,500 of operating costs other than depreciation,...

3. Last year, LTD limited. reported $11,250 of sales, $4,500 of operating costs other than depreciation, and $1,250 of depreciation. The company had $3,500 of bonds outstanding that carry a 6.50% interest rate, and its federal-plus-state income tax rate was 35.00%. During last year, the firm had expenditures on fixed assets and net operating working capital that totaled $2,000. These expenditures were necessary for it to sustain operations and generate future sales and cash flows. This year's data are expected...
3. Last year, LTD limited. reported $11,250 of sales, $4,500 of operating costs other than depreciation,...

3. Last year, LTD limited. reported $11,250 of sales, $4,500 of operating costs other than depreciation, and $1,250 of depreciation. The company had $3,500 of bonds outstanding that carry a 6.50% interest rate, and its federal-plus-state income tax rate was 35.00%. During last year, the firm had expenditures on fixed assets and net operating working capital that totaled $2,000. These expenditures were necessary for it to sustain operations and generate future sales and cash flows. This year's data are expected...
Brown Office Supplies recently reported $18,500 of sales, $8,250 of operating costs other than depreciation, and $1,750...

Brown Office Supplies recently reported $18,500 of sales, $8,250 of operating costs other than depreciation, and $1,750 of depreciation. It had $9,000 of bonds outstanding that carry a 7.0% interest rate, and its federal-plus-state income tax rate was 40%. How much was the firm's earnings before taxes (EBT)? (Points : 10) $5,981 $7,398 $7,870 $5,903 $6,217

Question 8. The Rick Sanchez Corp recently reported $4,678,000 of sales, $3,740,500 of operating costs other...

Question 8. The Rick Sanchez Corp recently reported $4,678,000 of sales, $3,740,500 of operating costs other than depreciation, and $450,2200 of depreciation. The company had $533,250 of outstanding bonds that carry 7.75% interest rate and its federal plus state income tax rate was 30%. In order to sustain its operations and thus generate future sales and cash flows, the firm was required to spend $1,085,000 to buy new fixed assets and to invest $22,400 in net operating working capital. What...
$190,000 of sales, $140,500 of operating costs other than depreciation, and t-earry a-6-75%-interest-rate, and its Pittsburgh...

$190,000 of sales, $140,500 of operating costs other than depreciation, and t-earry a-6-75%-interest-rate, and its Pittsburgh Paints recently reported S9,250 of depreciation. The company had $35,250 oF euts federal-plus-state in tstanding-bends that come tax rate was 35%. In order to sustain its operations and thus generate future sales and rm was required to spend S15,250 to buy new fixed assets and to invest $6,25Q in net operating working capital. What was the firm's free cash flow? A. $12,913 B. $13,313...
Edwards Electronics recently reported $14,750 of sales, $5,500 of operating costs other than depreciation, and $1,250...

Edwards Electronics recently reported $14,750 of sales, $5,500 of operating costs other than depreciation, and $1,250 of depreciation. The company had no amortization charges, it had $3,500 of bonds that carry a 6.25% interest rate, and its federal-plus-state income tax rate was 35%. How much was its net cash flow? a. $6,355.61 b. $6,403.41 c. $6,331.71 d. $6,379.51 e. $6,307.81

GYOC Mining Inc. recently reported $115,000 of sales, $72,500 of operating costs other than depreciation, and...

GYOC Mining Inc. recently reported $115,000 of sales, $72,500 of operating costs other than depreciation, and $9,200 of depreciation. The company had $20,000 of outstanding bonds that carry a 5% interest rate, and its federal-plus-state income tax rate was 30%. How much was the firm's net income?

1. AT&T recently reported (in millions) $8,250 of sales, $5,750 of operating costs other than depreciation,...

Homework Answers

Add Answer to:
1. AT&T recently reported (in millions) $8,250 of sales, $5,750 of operating costs other than depreciation,...

Post as a guest

Earn Coins

Watson Oil recently reported (in millions) $8,250 of sales, $5,750 of operating costs other than depreciation,...

Houston Pumps recently reported $232,500 of sales, $140,500 of operating costs other than depreciation, and $9,250...

17. A company recently reported it had, in millions, $10,000 of sales, $5,000 of operating costs...

3. Last year, LTD limited. reported $11,250 of sales, $4,500 of operating costs other than depreciation,...

3. Last year, LTD limited. reported $11,250 of sales, $4,500 of operating costs other than depreciation,...

Brown Office Supplies recently reported $18,500 of sales, $8,250 of operating costs other than depreciation, and $1,750...

Question 8. The Rick Sanchez Corp recently reported $4,678,000 of sales, $3,740,500 of operating costs other...

$190,000 of sales, $140,500 of operating costs other than depreciation, and t-earry a-6-75%-interest-rate, and its Pittsburgh...

Edwards Electronics recently reported $14,750 of sales, $5,500 of operating costs other than depreciation, and $1,250...

GYOC Mining Inc. recently reported $115,000 of sales, $72,500 of operating costs other than depreciation, and...

1. AT&T recently reported (in millions) $8,250 of sales, $5,750 of operating costs other than depreciation,...

Homework Answers

Add Answer to: 1. AT&T recently reported (in millions) $8,250 of sales, $5,750 of operating costs other than depreciation,...

Post as a guest

Earn Coins

Add Answer to:
1. AT&T recently reported (in millions) $8,250 of sales, $5,750 of operating costs other than depreciation,...