Calculate the cash flow to shareholders

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Question - You are provided with the following information for ABC Company:

Interest expense $8,400

Depreciation $14,500

Current taxes $15,000

Deferred taxes $12,000

Earnings before interest and taxes $72,000

Repayment of long-term debt $24,600

Proceeds from the sale of common shares $6,800

Purchases of long-term assets $22,600

Purchases of inventories $3,500

Payment of dividends $17,000

Required -

1. Calculate the cash flow from the firm?

2. Calculate the cash flow to shareholders?

Reference no: EM133075249

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