Intellitech is a technology firm that has been in operating for two years. In the most recent
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Intellitech is a technology firm that has been in operating for two years. In the most recent year, the firm reported revenues of \($500\) million, five times revenues in the previous year. The firm also reported an operating loss of \($400\) million. You expect revenues to grow 100%
next year, 80% the year after, and 40% a year for the following three years, and the pretax operating margin to improve—in linear increments
—to 10% by the fifth year. Estimate the revenues and operating income each year for the next five years.
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Investment Valuation Tools And Techniques For Determining The Value Of Any Asset
ISBN: 9781118011522
3rd Edition
Authors: Aswath Damodaran
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