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You'd like to value the shares of Lafayette Inc. by the free cash flow to equity holders method. This firm had earnings before interest and
You'd like to value the shares of Lafayette Inc. by the free cash flow to equity holders method. This firm had earnings before interest and taxes of $989, a depreciation expense of $114, spent $41 on building and improving fixed assets, increased net working capital by $50, spent $95 on interest, and increased net debt increased by $92. What is the free cash flow to equity holders per share assuming a tax rate of 30%? All of the values in this problem are presented on a per-share basis.
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