Synergy Practice

Based on the information in the table, please fill in the missing numbers.

	Acquirer	Target	Combined
Sales	1000	300	?11?
Extra revenue			50
Operating Expenses	400	120	520
cost savings			40
EBIT	?1?	?6?	?12?
EBIT(1 t) (Note: t=40%)	?2?	?7?	?13?
Depreciation	100	30	130
Gross Plant & Equipment	40	20	60
Change in Working Capital	10	10	20
Free Cash Flow to Firm	?3?	?8?	?14?
Discount rate	8.00%	10%	8.00%
Firm Value	?4?	?9?	?15?
Long term debt	3000	200	3200
Equity value	?5?	?10?	?16?
Synergy			?17?