Given the following:
EBIT 80.0
EBIT (1-T) 66.4
Depreciation and Amortization 33.0
Capital Expenditures 11.2
Increase in Net Working Capital 32.7
Interest payment 5.0
Tax rate at 17%
(a) Compute FCFF.
(b) Compute FCFE.
(c) Analyse the likely impact on FCFF and FCFE from an increase of dividend policy.