Saved Bookmarks
| 1. |
What's An Alternate Way To Calculate Free Cash Flow Aside From Taking Net Income, Adding Back Depreciation, And Subtracting Changes In Operating Assets / Liabilities And Capex? |
|
Answer» Take Cash Flow From OPERATIONS and subtract CapEx - that GETS you to Levered Cash Flow. To get to Unlevered Cash Flow, you then NEED to add back the tax-adjusted Interest EXPENSE and subtract the tax-adjusted Interest Income. Take Cash Flow From Operations and subtract CapEx - that gets you to Levered Cash Flow. To get to Unlevered Cash Flow, you then need to add back the tax-adjusted Interest Expense and subtract the tax-adjusted Interest Income. |
|