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Assuming a USD100 increase in each of the line items indicated below and a 40 percent tax rate; what will be the effect (amount and
Assuming a USD100 increase in each of the line items indicated below and a 40 percent tax rate; what will be the effect (amount and direction of change) on this periods FCFF and FCFE
USD 100 increase in | Change in FCFF | Change in FCFE |
A. Net income. |
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B. EBIT. |
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C. Accounts receivable. |
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D. Accounts payable. |
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E. Property, plant, and equipment. |
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F. Notes payable. |
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