Swamp & Sand Industries has the following data. Calculate its Net Working Capital (NWC) adjustment for cash flow in year X2. X1 X2 Cash 100 140 Receivables 230 233 Inventories 450 490 Payables 300 331 Debt 140 197 Remember a negative NWC is a source of cash and reduces the need for financing.

Calculate the terminal value of the tax shield given the following information. Assume we are calculating it for the next year (that is, assume there is no planning period, just a terminal value). The tax rate is 30%. Debt will be $170 million. Assume debt grows at the same annual rate as the firm which is 2%. The cost of debt is 7% while the cost of equity is 12%.

At the end of 10 years, Grokster Investments plans to sell its interest in One City Tower, an office building in Miami, FL. In year 10 the building is expected to generate an annual cash flow of $40 million that is expected to grow at an annual rate 1% forever. The discount rate for projects such as this is 14%. Calculate the terminal value at the end of the 10th year.

Swamp & Sand Industries has the following data. Calculate its Capital Expenditures (CapEx) adjustment for cash flow in 20X2. 20X1 20X2 Net PPE 1500 5275 Depreciation Expense 300 2257

Swamp & Sand Industries has the following data. At a discount rate of 8%, calculate its Discounted Cash Flow (DCF) for the years presented. 20X1 20X2 20X3 Free Cash Flow 1021 1021 1021

Given the following data from Swamp & Sand Industries, calculate the FCF (Free Cash Flow). The tax rate is 30%. Sales 1109 Cost of Sales 400 SGA 308 Depreciation 91 Interest Expense 6 Change NWC 16 CapEx 97 Dividends 35 Note SGA does not include depreciation.