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ABC currently has sales of $1,000, which are expected to grow by 8% from year 0 to year 1 and by 8% from year1 to

ABC currently has sales of $1,000, which are expected to grow by 8% from year 0 to year 1 and by 8% from year1 to year 2. The company currently has operating profitability ratio (NOPAT/Sales) of 7% and a capital requirement ratio (Operating capital/Sales) of 50% and expects to maintain these ratios at their current levels. The current operating capital is $510. Use these inputs, the forecast free cash flow (FCF) for year 2 will be $____________.

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