$1-$ Consider a merger situation between $2$ companies. Based on the assumptions below, determine the value of each synergy. Assume $10\%$ WACC $($actual rate$)$ and $34\%$ profit tax rate where necessary. Show the calculations. Project all flows in constant currency $($without inflation$).$

a$)(1\mathrm{.}0$ point$)$ Reduction of employees $($duplicity of positions$)$: According to the table below, assume that positions will only be cut at the beginning of the $2$nd year, and that in the $1$st year the layoffs will generate additional labor costs equivalent to $120\%$ of the total value of the total annual salary bill $($including contributions$)$ of the dismissed employees. Assume that each employee receives $13\mathrm{.}3$ salaries per year and that, in addition to salaries, the company also incurs additional charges equivalent to $50\%$ of the annual value of salaries $($referring to labor charges and other contributions mandatory by law that affect the payroll $).$

POSITION EMPLOYEES CUT MONTHLY SALARY

Board $545000$

Management $1225000$

Analyst $158000$

Worker $203000$

b$)(0\mathrm{.}75$ point$)$ Increase in revenue: it is expected that the new company will be able to generate additional net revenues of R$$100$ million in the $1$st year, growing at a real rate of $3\%$ per year. Consider variable costs of $60\%$ of revenue.

c$)(0\mathrm{.}75$ point$)$ Reduction in the cost of financing sources: the WACC of companies before the merger was $11\%$ p$.$a$.$ and a reduction to $10\%$ p$.$a is expected due to the reduction in business risk after the merger. Determine the impact of this synergy on the company$$s value. Assume that the company generates an FCFF of R$$300$ million in the $1$st year, growing at a rate of $2\mathrm{.}5\%$ per year.