Calculating cash flow from operations and cash investment


Question: Calculating Cash Flow from Operations and Cash Investment for Coca-Cola (Easy) The Coca-Cola Company reported "Net cash provided by operating activities" of $7, 150 million in its 2007 cash flow statement. It also reported interest paid of $405 million and interest income of $236 million. Coke has a 36 percent tax rate. What was the company's cash flow from operations for 2007? Coca-Cola Company also reported "Net cash used in investing activities" of$6,719 million in its 2007 cash flow statement. As part of this number, it reported "Purchases of investments" (in interest-bearing securities) of $99 million and "Proceeds from disposal of investments" of $448 million. What cash did it spend on investments in operations? What was Coca-Cola's free cash flow for 2007?

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Finance Basics: Calculating cash flow from operations and cash investment
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