Intro In the most recent year (2019), UPipe had an EBIT of $460 million. Depreciation...
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Intro In the most recent year (2019), UPipe had an EBIT of $460 million. Depreciation was $92 million, increase in net operating working capital was $46 million and capital expenditure was $115 million. Over the next 4 years, EBIT is expected to grow by 20% per year, depreciation by 15% per year, capital expenditure by 25% per year and change in net operating working capital by 15% per year. The annual free cash flow is expected to grow by 3% per year after 2023. The weighted average cost of capital is 7% and the average tax rate is 34%. The firm has $660 million of debt and 10 million shares outstanding. Part 1 IB | Attempt 2/10 for 9.8 pts. What was the free cash flow in 2019 (in $ million)? 0+ decimals Submit Part 2 | Attempt 1/10 for 10 pts. What is the expected free cash flow in 2023 (in $ million)? 0+ decimals Submit Part 3 1 Attempt 1/10 for 10 pts. What is the horizon value in 2023 (in $ million)? 0+ decimals Submit Part 4 1 - Attempt 1/10 for 10 pts. What is the firm value today, at the beginning of 2020 (in $ million)? 0+ decimals Submit
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