Question: Prepare a succinct statement describing Robertson Tool's business risk, making critical judgments. Consider the volatility of its revenues and operating expenses, therefore appraising the volatility
Prepare a succinct statement describing Robertson Tool's business risk, making critical judgments. Consider the volatility of its revenues and operating expenses, therefore appraising the volatility of its EBIT .EBIT after tax (EBIAT) 2.5 3.4 4.3 4.9 4.9 + Depreciation 2.3 2.5 2.7 2.9 2.9 =Cash Flow from Operations (CFFO) 4.8 5.9 7.0 7.8 7.8 +/- Change in Net Working Capital (1.4) (1.6) (1.6) (1.7) 0.0 +/- Capital Expenditures (4.0) (3.5) (3.6) (3.8) (2.9) =Free Cash Flow (FCF) (0.6) 0.8 1.8 2.3 4.9 +Terminal Value (TV) 73.8 \
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