Select all that are true with respect to the flow to equity $($FTE$)$ approach:

Group of answer choices

Equity represents the senior claimants; thus, they have priority rights over all the other capital providers to the firm.

Estimate free cash flow to equity as the after$-$tax operating cash flow less interest payments to debt holders.

Estimate free cash flow to equity as the after$-$tax operating cash flow less after$-$tax interest payments and principal payments to debt holders.

The value of the entire firm is the value of the equity plus the value of the debt $($assume excess cash is zero$).$