The financial information on Lazy Day,Inc.is as follows:

What is the cash flow of the firm,CF(A),for 2017?
A)$3,050
B)$2,813
C)$3,297
D)$3,147
E)$2,978

Question

The financial information on Lazy Day,Inc.is as follows:

What is the cash flow of the firm,CF(A),for 2017?
A)$3,050 
B)$2,813 
C)$3,297 
D)$3,147 
E)$2,978

Quizplus · Accepted Answer

EBIT = $11,317 - $4,618 - $984 - $948 = $4,767 OCF = $4,767 + $948 - $1,512 = $4,203 Additions to net working capital = ($97 + $2,960 + $5,138 - $3,209)- ($138 + $2,780 + $5,209 - $3,338)= $197 Net capital spending = $8,720 - $8,640 + $948 = $1,028 CF(A)= $4,203 - $197 - $1,028 = $2,978

The Financial Information on Lazy Day,Inc.is as Follows