Question: For the following problems, use Exhibit B. Exhibit B has the balance sheet and Income Statement projections for a specific company. The company is evaluating

For the following problems, use Exhibit B. Exhibit B has the balance sheet and Income Statement projections for a specific company. The company is evaluating if it is worth it to have the capital investment as showed in the Capital Investment Table. The EBITDA multiplier of similar companies [(3+5.2)]. The debt used has a coupon of [(6+3.5)]%. The WACC is [7+6+3+2]%.

a. What is the increase in Net Working Capital for 2022? NOTE: Provide your answers in dollars.

b. What is the increase in Net Working Capital for 2023? NOTE: Provide your answers in dollars.

c. What would be the Free Cash Flow for 2022?

d. What would be the Free Cash Flow for 2023?

e. What is the present value of the Free cash flows?

f. What is the present value of the continuation value for the firm?

g. What is the present value of the Interest Tax Shield?

For the following problems, use Exhibit B. Exhibit B has the balance

sheet and Income Statement projections for a specific company. The company is

Integrated Financial Statements Exhibit A: Pro Forma Financial Statements Integrated Financial Statements Exhibit A: Pro Forma Financial Statements

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