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You have been asked to examine a valuation done of Loden Construction, a real estate and construction company. You have been provided with the income
You have been asked to examine a valuation done of Loden Construction, a real estate and construction company. You have been provided with the income statement for the last year:
Revenues
Operating Expenses
Depr. & Amort.
EBIT
In the valuation, the analyst has assumed a growth rate of forever in revenues, operating income and depreciation, and assumed capital expenditures of $ million for next year In addition, the analyst has assumed that noncash working capital will be of the change in revenues. Tax rate
Estimate the expected free cashflows to the firm next year, based upon the assumptions listed above.
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