Question - A company reports net sales of $2,500 million. Assume that there were no non-cash sales.
• Operating costs (excluding depreciation & amortization) were 65% of its total revenues.
• Depreciation & Amortization charges were 5% of total sales.
• Interest charges were 15% of EBIT with a tax rate of 40%.
The company's current cash flow is?
a. $382 million
b. $507 million
c. $253 million
d. $637 million