A Firm Reports That in a Certain Year It Had

Multiple Choice

A firm reports that in a certain year it had unlevered net income of $4.5 million,a capital cost allowance (CCA) deduction of $2.8 million,capital expenditures of $2.3 million,and net working capital decreased by $1.5 million.What is the firm's free cash flow for that year?

A) $2.4 million
B) $6.5 million
C) $8.1 million
D) $11.1 million
E) $5.5 million