Hello , I need a little clarification on the below. I accept it is a very basic question still can you please explain. Why are we deducting fixed capital Investment for computing both FCFF as well as FCFE? I believe Capital expenditure is for the growth of the firm and hence why can’t this item be added to the FCFE alone. As Equity holders has right on this as well. Apologies if the Question is very basic. Thanks in Advance, Aarthi

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Hello , I need a little clarification on the below. I accept it is a very basic question still can you please explain. Why are we deducting fixed capital Investment for computing both FCFF as well as FCFE? I believe Capital expenditure is for the growth of the firm and hence why can’t this item be added to the FCFE alone. As Equity holders has right on this as well. Apologies if the Question is very basic. Thanks in Advance, Aarthi

Finance
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At vero eos et accusamus et iusto odio dignissimos ducimus qui blanditiis praesentium voluptatum deleniti atque corrupti quos dolores et quas molestias excepturi sint occaecati cupiditate non provident, similique sunt in culpa qui officia deserunt mollitia animi, id est laborum et dolorum fuga. Et harum quidem rerum facilis est et expedita distinctio. Nam libero tempore, cum soluta nobis est eligendi optio cumque nihil impedit quo minus id quod maxime placeat facere possimus, omnis voluptas assumenda est, omnis dolor repellendus. Itaque earum rerum hic tenetur a sapiente delectus, ut aut reiciendis voluptatibus maiores alias consequatur aut perferendis doloribus asperiores repellat.

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