Create a Free Cash Flow and Discounted Cash Flow Statement. The tax rate and discount rate are not given, so the percentage below is an assumption. If there are better assumptions, then feel free to use that with a description as to why it is better. The EBIT is from the company that is trying to bought; their stand alone basis projected income statement and balance sheet. Show all calculations.

Would you say the merger is a good idea?

	2015	2016	2017	2018	2019	2020	2021
EBIT	$3,052	$3,210	$3,470	$3,683	$3,915	$4,118	$4,188
Tax Rate	36%	36%	36%	36%	36%	36%	36%
Discount Rate	12%	12%	12%	12%	12%	12%	12%
Capital Expenditures	$2,365	$2,070	$1,910	$1,930	$1,930	$1,949	$1,969
Increase in EBIT Pre-merger	$0	$214	$529	$844	$1,159	$1,260	$1,260
Increase in EBIT Post Merger	$0	$214	$529	$968	$1,407	$1,631	$1,755
NWC	-$192	-$128	-$134	-$140	-$146	-$151	-$154