Free cashflow frame work Flashcards

1
Q
A
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2
Q

What does free cash flow do?

A

when valuing the company for the purpose of an acquisition, they want to assess the juicy, day-to-day business operations separately from the shiny coins.

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3
Q

What information to exclude

A

Non cash items- Depreciation
-Deferred Tax
-adjusted for NOPAT

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