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Preferred share dividends: $14 Net income available to common: $125 Investment in working capital: $30 Investment in fixed capital $100 Net new borrowing $40 -Depreciation: $50 - Tax rate: 40% -Market value of debt is $600 and interest on thi The current FCFF for Barlow Energy is closest to O $36

Preferred share dividends: $14 Net income available to common: $125 Investment in working capital: $30 Investment in fixed capital $100 Net new borrowing $40 -Depreciation: $50 - Tax rate: 40% -Market value of debt is $600 and interest on thi The current FCFF for Barlow Energy is closest to O $36

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Q21: An analyst following Barlow Energy has compiled the following information in preparation for addition produce (data is in hundreds of millions of $): Preferred share dividends: $14 -Net income available to common: $125 Investment in working capital: $30 - Investment in fixed capital: $100 -Net new borrowing: $40 Depreciation: $50 - Tax rate: 40% - Market value of debt is $600 and interest on this debt is 7.5% The current FCFF for Barlow Energy is closest to $36 $62 $86 $14
Transcribed Image Text:Q21: An analyst following Barlow Energy has compiled the following information in preparation for addition produce (data is in hundreds of millions of $): Preferred share dividends: $14 -Net income available to common: $125 Investment in working capital: $30 - Investment in fixed capital: $100 -Net new borrowing: $40 Depreciation: $50 - Tax rate: 40% - Market value of debt is $600 and interest on this debt is 7.5% The current FCFF for Barlow Energy is closest to $36 $62 $86 $14
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