Question

Assume that during 2017, Cypress Semiconductor Corporation reported net cash provided by operating activities of $155,793,000, net cash used in investing activities of $207,826,000 (including cash spent for plant assets of $132,280,000), and net cash used in financing activities of $33,372,000. Dividends of $5,000,000 were paid. Calculate free cash flow. (Enter negative amount using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)

Answer 1

$18,513,000

Step-by-step explanation:

Given that,

Cash provided by operating activities = $155,793,000

Capital expenditures = $132,280,000

Dividend paid = $5,000,000

Net cash used in financing activities = $33,372,000

Free cash flow:

= cash provided by operating activities - capital expenditures - dividend paid

= $155,793,000 - $132,280,000 - $5,000,000

= $18,513,000