You were just hired on as an equity analyst. Your first task is to determine the future free cash flows of Blueberry Hill Enterprises (BHE). You gather the following information: Capital Expenditures in Year 0 will be 30,000. These costs will depreciated over 5 years using straight- line depreciation. You expect this to be the only capital expenditure for the near future. You estimate NOPAT this upcoming year (Year 1) to be 50,000 and to grow at 10% each year. Net working capital is expected to 10% of NOPAT.

What is your estimate of the FCF at the end of year 2?