| EBIT |
|
This is Earning Before Interest and Tax, or operating income |
| Tax Rate (%) |
|
Average tax rate, such as 30(%) |
| Depreciation |
|
|
| Changes in Gross Fixed Asset (NFA) |
|
Use current gross fixed assets subtract gross fixed assets in prior year to get chages in GFA(capital expenditures) |
| Changes in Net Working Capital (NWC) |
|
Use current year's net working capital subtract NWC in prior year to get chages in NWC. NWC = CA-CL |
| Free Cash Flow (FCF) |
|
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