Following are financial statement for the International Products Corporation 2012 2920 Following are financial statements for the International Products Corporation 2019 2020 Cash Accounts Receivables Inventories Total Current Assets Fixed Assets, Net Total Assets $50,000 200.000 450.000 700,000 300.000 $1,000,000 $60,000 290,000 570.000 920,000 380.000 $1,300,000 Accounts Payable Accruals Bank Loan Total Current Liabilities Long-Term Debt Common Stock ($1 par) Capital Surplus Retained Earnings Total Liab & Equity $40,000 50,000 80.000 270,000 400.000 50,000 200,000 80.000 $1,000,000 $180,000 70,000 20.000 340,000 550.000 50.000 200.000 160.000 $1,300,000 2019 2020 Not Sales Cost of Goods Sold Groas Profit Marketing General & Administrative Depreciation EBIT Interest Earnings Before Themes Tacome Taares (40% rate) Net Income $1,300,000 780.000 520.000 130.000 150,000 40.000 200,000 45.000 155,000 62.000 $93,000 $1,600,000 960.000 640,000 160.000 150,000 55.000 275,000 55.000 220,000 88.000 $132.000 1- Define with your own words the Free cash Flow (2 Marks) 2- Compute the Free Cash Flow of 2020 (3 Maris) 3. The cost of capital of the company is 10% and the company is expecting two possible scenarios as following - Constant free cash flow (2 Marks) b- Free cash flow will be growing with a fixed rate of 6%. (3 Marks) Compute the value of the company at the end of 2020 is each scenario TT T Arial 3(12pt) TEE