FCFE Question addition, someone, original, equipment

richer1983

NI = $50
WCinv = $4
Beg Gross Fixed Assets = $90; ending gross fixed assets = $136
Beg Accumulated Dep = $30; Ending accumulated dep = $40
Depreciation expense = $27
CAPEX = $65
Net Borrowing = 0

In addition a piece of equipment with an original book value of $19 was sold for $10. The equipment had a book value at the time of the same of $2. The gain was classified as unusual. Free Cash Flow to Equity is closest to:

$6
$10
$18

Can someone please explain the answer which is:



















$10

manasib

Good to see you active here as well CP. This stuff is in the Level I curriculum as well.