This video covers the following learning objectives:
- Define and calculate Free Cash Flow to the Firm (FCFF) and Free Cash Flow to Equity (FCFE)
-
Understand the definitions and distinctions between FCFF and FCFE
-
Calculate FCFF using EBIT, tax rate, depreciation, CapEx, and working capital changes
-
Calculate FCFE using either FCFF or net income and debt-related adjustments
-
Determine when to use FCFF versus FCFE in valuation models
-
Prepare inputs and outputs for integration into DCF models
-
Build a working Excel calculator for both FCFF and FCFE
Reviews
There are no reviews yet.