2. (3 pts) Using the pro forma statements for Baldies Hair Salon for 2017, calculate the value of Baldies Hair Salon at the end of 2016 if a the free cash flow is what you calculated in Question 1, b, free cash flows will grow 5.0% each year, and c. an investor wants a 25.0% rate of return on their investment. 1 Baldies Hair Salon Free Cash Flows 2017 2 Cash Flow fro Operating Activites 3 Add: Internest Expense 4 Less: Tax benefit on Interest Expense1,081.00 5 Less: Capital Expenditure 6 Free Cash Flows 7 8 Baldies Hair Salon Free Cash Flow 2017 9 Earnings 10 Add: Non Cash Expenditure Depreciation S 32,000.00 11 Add: Changes in Working Capital 12 Less: Capital Expenditure 13 Free Cash Flows 14 $ 51,733.50 $ 4,322.00 $ 57,136.50 $ 35,475.00 $(12,500.00) $54,975.00