Can someone explain to me the concept of adding back “interest x (1-T)”
maybe i’m just misunderstanding something. FCFF is valuation before you pay back the debt holders right?
what does it mean when you add back that interest x (1-T). I read the schweser notes but for some reason i can’t connect the dots. Can someone take the time and explain it to me using language even a random person off the street would understand it?
thanks and goodluck studying everyone!
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