Answer:
The free cash flow is $105,000
Explanation:
Free cash flow=net cash from operating activities-cash dividends-capital expenditure
net cash flow from operating activities is $228,000
Cash dividends is $19,000
Capital expenditure is $104,00
Free cash flow=$228,000-$19,000-$104,000
=$105,000
The free cash flow to equity shareholders in the year 2018 is $105,000
Free cash flow is the additional cash resources generated by the business in favor of its original owners-the equity shareholders.
