FCFE - When is Target Debt Ratio used?

Twice I have been wrong because of not using the (1-DR) formula to calculate FCFE. When is this approach used if all inputs are given to estimate FCFE using “FCFF” approach and (1-DR) approach?

Thank you

I found that this pops up usually when trying to calculate FCFE/ share. If you are given assumptions of estimated EPS, growth, fixed and working capital expenditures as a % of EPS, and the ratio to which future investments will be financed with debt and equity, you can use the formula:

FCFE = NI – [(1 – DR) × (Net Capex)] – [(1 – DR) × (WCInv)]

Where Net Capex and WC Inv are given as percentages of EPS.

Net Capex= FCInv- Depreciation.