please explain this in EXCEL with formulas. both questions are in (1 section)

N 3 4 5 Question 1: The forecasts of the financial statements of a privately-owned hardware store, Swann Brothers, are given below. The company is subject to a 30% tax rate Based on the forecast information, calculate the free cash flow for years 1 through 3 using both the EBIT and CFO methods. 6 7 1 1 1 . 1 1 1 9 $ millons 10 Forecast 11 Year 1 2 3 12 Sales $100.00 $110.00 $125.00 $138.00 13 Cost of goods sold $65.00 $78.00 $82.30 $85.80 14 Selling, general and administrative expenses $15.00 $18.25 $21.32 $20.44 15 Depreciation $10.00 $12.40 $15.30 $17.701 16 Interest payment on debt $2.00 $2.50 $3.00 $3.50 17 Current assets $10.00 $13.34 $12.67 $14.78 18 Current liabilities $8.00 $8.80 $9.45 $10.53 19 Capital expenditure $5.00 $5.87 $6.55 $7.87 20 21 FREE CASH FLOW 22 23 Question 2: The top management team of a firm purchased the company with their own personal funds 24 and $125 million borrowing. The interest on the loan was 7% and the loan is to be paid off annually by $25 25 million so that by the end of year 5 the loan will be fully paid off. The unlevered cost of equity for the firm is estimated at 11% and the tax rate is 30%. The free cash flows are estimated for the next five years as 26 follows: $40 million in year 1, $50 million in year 2. $58 million in year 3,564 million in year 4, and $68 27 million in year 5. The cash flow is expected to grow at 1.5% per year after the fifth year. 28 Estimate the value of the firm as of year O using the APV valuation method. 29 30 31