Hi, Can anyone please explain the formula for Free Cash flow to equity? Thanks.
There are many versions. Post the one you are speaking about.
Check this out: http://www.analystforum.com/phorums/read.php?11,736272 Use the search function guys&gals.
it is in the book…FCFE = FCFF - after tax interest expense + net borrowing if i recall correctly
FCFE=NI+non cash charges-WCInvest-FCInvest