Question: 33. You are valuing a company that had sales of 50000 in 2018 and the expected year-on-year growth rate of sales for years 2019

33. You are valuing a company that had sales of ( ell 50000 ) in 2018 and the expected year-on-year growth rate of sales f

The expected Free Cash Flow to the firm in years 2019 and 2020 are: Select one: ( ) 

33. You are valuing a company that had sales of 50000 in 2018 and the expected year-on-year growth rate of sales for years 2019 and 2020 are 4% and 2%, respectively. For both years 2019 and 2020 you expect EBIT margin(as a percentage of sales) to be 8%. The corporate tax rate is 30%. You gave the additional assumptions: Values in C 2019 Depreciation & Provisions 2600 3380 180 Capex Changes Working Capital The expected Select one: () a 508 b Free Cash Flow to the firm in years 2019 and 2020 are: 1952 and 1952 and 3200 and 2020 2652 3262 94 2266, respectively 3037, respectively 3540, respectively

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!