Vega Solutions is being considered for acquisition. For the upcoming year, an analyst has estimated the following: • Net income = $280 million Net interest after tax = $90 million • Change in deferred taxes = +$20 million • Depreciation = $180 million • Change in net working capital (NWC) = +$40 million. Capital Expenditures (CAPEX) = $230 million Calculate the firm's estimated free cash flow (FCF).

Vega Solutions is being considered for acquisition. For the upcoming year, an analyst has estimated the following: • Net income = $280 million Net interest after tax = $90 million • Change in deferred taxes = +$20 million • Depreciation = $180 million • Change in net working capital (NWC) = +$40 million. Capital Expenditures (CAPEX) = $230 million Calculate the firm's estimated free cash flow (FCF).

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter6: Accounting For Financial Management

Section: Chapter Questions

Problem 11P: The Berndt Corporation expects to have sales of 12 million. Costs other than depreciation are...

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