12) If NOPLATt+1 = $1,200, g = 2%, RONIC = 15%, WACC = 13%, then continuing value in year t is closest to:

a) $8,741. b) $7,933. c) $9,133. d) $10,000. e) $9,454.

13) Which of the following concerning deferred taxes classified as non-operating are true?

I. They will not be included in a discounted free cash flow (FCF) valuation.

II. They can be valued as part of their corresponding accounts (as in the case of pensions).

III. They can be valued separately (as in the case of net operating loss carryforwards).

IV. They can be ignored as accounting conventions (as in the case of nondeductible amortization).

a) I and II only. b) II and III only. c) II and IV only. d) I, II, III, and IV. e) None of the Above.