medium · Principles of Finance valuation
When calculating FCFE per share starting from FCFF, which of the following adjustments is necessary to correctly isolate the cash flow available to equity holders?
- Add Interest Expense and subtract Net Borrowing.
- Subtract After-Tax Interest Expense and add Net Borrowing.
- Add Dividends paid during the period.
- Subtract Capital Expenditures and add Depreciation.
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