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If they have no debt on the B/S (no interest bearing liabilities), then there should be no interest expense. Assuming $5MM cash, you're going to have interest income, so you're going to want to subtract tax-effected interest income from the CFO number.

Other than that, you're good. I generally calculate FCF as net income plus non-cash expenses less changes in working capital less capex -- I do not include changes in tangible, non-interest bearing LT accounts. I suppose it's a preference thing. But given the level of detail that you were provided with, you are going about calculating FCF the right way.

 

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