Calculate the free cash flow for year

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Question 1: Given the following data for year-1: Profits after taxes = $14 millions; Depreciation = $6 millions; Interest expense = $6 millions; Investment in fixed assets = $12 millions; and Investment in working capital = $3 millions; Calculate the free cash flow (FCF) for year-1:

Option A. $4 millions

Option B. $5 millions

Option C. $6 millions

Option D. none of the above

Reference no: EM132524649

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