QUESTION ONE (e) NairobiTech Solutions is a software company located in Nairobi Kenya. The company earned sh. 20 million before Interest and Taxes on turnover of sh. 60 million in 2013. In the year 2013, investment in property, plant and equipment was sh. 10 Million, and Amortization and Depreciation was sh. 6 million. Working capital investment was 5 percent of Turnover. NairobiTech Solutions expect eamings before interest and taxes, investment in property, plant and equipment, investment in working Capital, Amortization and Depreciation and Turnover to grow at 10 percent per year from 2014 to 2023. After year 2023, the growth in sales, earnings before interest and taxes, and working capital investment will decline to stable 3 percent per year, and investment in property, plant and equipment and Amortization and Depreciation will offset each other. NairobiTech Solutions has arn effective tax rate of 20 percent. Assume that the weighted average cost of capital is 12 percent during the high growth stage and 8 percent during the stable growth stage. Required: (i) Calculate the Free cash Flow to the Firm for year 2014 (ii) The Free Cash Flow in the year 2024 (iii)Terminal Value in year 2023 (iv) The value of NairobiTech Solutions using the Free Cash Flow to the Firm model (30 Marks) ompters As a ton manager in the firm, you are