The ABC plc cash flow statement for the latest financial year is given below. The appropriate discount
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The ABC plc cash flow statement for the latest financial year is given below. The appropriate discount and growth rates are 14 per cent and 4 per cent, respectively. Assume the marginal corporate tax rate is 23 per cent. What is the value of the firm?
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m Net cash flows, from operating activities Cash generated from (used in) operations Interest paid Purchase of interest rate caps Interest received Corporate income tax (paid) refunded Net cash generated from operating activities Cash flows from investing activities Acquisition of subsidiary undertakings, net of cash acquired Increased investment in subsidiary undertakings Purchase of property, plant and equipment and software Loans made to Group companies Net cash used in investing activities Free cash flow Cash flows from financing activities Net proceeds from share issues Purchase of own shares Treasury shares sold by trust Year Ended 31 March Repayment of borrowings Net payments on revolving and short-term credit facilities Financing fees paid Net cash (used in) generated from financing activities Net increase (decrease) in cash and cash equivalents Cash and cash equivalents at beginning of the year Exchange losses on cash and cash equivalents Cash and cash equivalents at year end Notes 23 2011 611.6 (234.0) - 1.9 (24.6) 354.9 (12.8) (77.4) (90.2) 264.7 0.8 (0.2) (216.5) (6.6) (0.4) (222.9) 41.8 160.4 (1.7) 200.5
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Related Book For
Corporate Finance
ISBN: 9780077173630
3rd Edition
Authors: David Hillier, Stephen A. Ross, Randolph W. Westerfield, Bradford D. Jordan, Jeffrey F. Jaffe
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