Madura Inc. wants to increase its free cash flow by $170 million during the coming year,...

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Madura Inc. wants to increase its free cash flow by $170 million during the coming year, which should result in a higher EVA and stock price. The CFO has made these projections for the upcoming year: EBIT is projected to equal $810 million. Gross capital expenditures are expected to total to $330 million versus depre so its net capital expenditures should total $210 million. The tax rate is 40%. There will be no changes in cash or marketable securities, nor will there be a payable or accruals. What increase in net operating working capital (in millions of dollars) would enable the firm to meet its target increase in FCF? a. $326 million b. $118 million c. $196 million d. $276 million e. $106 million Madura Inc. wants to increase its free cash flow by $170 million during the coming year, which should result in a higher EVA and stock price. The CFO has made these projections for the upcoming year: EBIT is projected to equal $810 million. Gross capital expenditures are expected to total to $330 million versus depre so its net capital expenditures should total $210 million. The tax rate is 40%. There will be no changes in cash or marketable securities, nor will there be a payable or accruals. What increase in net operating working capital (in millions of dollars) would enable the firm to meet its target increase in FCF? a. $326 million b. $118 million c. $196 million d. $276 million e. $106 million