This exercise will help you to understand how to calculate a company”s free cash flow.
Instructions
Using the data given in the following table, determine if the free cash flow for Exxon Mobil CP has increased/decreased during 2014 versus 2013. Figures given in the table are in billions.
| Year ending | December 31, 2014 | December 31, 2013 |
| Cash Provided by Operating Activities | $52.0 | $49.30 |
| Capital Expenditures | $15.40 | $15.50 |
| Payment of Dividends | $7.90 | $7.90 |
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