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Firms dividend policy

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Reference no: EM13727190

To look at the firm's dividend policy, you look at RAD's financial statements for the last year. RAD, in 2013, had net income of $118 million (operating income $1,132 million), capital expenditures of $315.846 million, depreciation and amortization of $414.111 million and its non-cash working capital decreased by $112.767 million. If it financed 50% of its external financing needs with debt, estimate its FCFE in 2013.

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Finance is one of the best department as the heart of the company. From finance, all money and other finances can be channeled in all department. Calculating free cash flow to equity is enough to let the management know how much they are operating at in terms of debt, working capital and the income.

Reference no: EM13727190

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