medium · Private Equity

A company reports a Net Income of $40M. Diligence reveals D&A of $15M, Capital Expenditures of $20M, and an increase in Accounts Receivable of $10M.

If all other items are constant, what is the Free Cash Flow to Equity (FCFE)?

  1. 45M
  2. 25M
  3. 55M
  4. 35M

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