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Estimate the fcff next year

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Reference no: EM133061333

Cremona is a manufacturer of cellos. It earned an after-tax return on capital of 10 percent last year and expects to maintain this next year. If the current year's after-tax operating income is $100 million and the firm reinvests 60 percent of this income back, estimate the FCFF next year.

Reference no: EM133061333

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