Assumptions Discount rate (calculated in answer to Question 1) 8.00% Terminal value $41,335 Free cash ow projection Calculations End onearO Year1 Year2 Year3 Year4 Year5
Assumptions Discount rate (calculated in answer to Question 1) 8.00% Terminal value $41,335 Free cash ow projection Calculations End onearO Year1 Year2 Year3 Year4 Year5 Free cash flow $300 $1,448 $965 $808 $1,948 Present value of FCF $2?8 $1,241 $766 $594 $1,326 Sum of FCF PV $4,205 Terminal value $41,335 Present value of terminal value I $28,132 _| Total value of PDI $32,337 54205 + 5 26.132
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
