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Below you will find the operating cash flows (Free Cash Flow) for ABC Corp. The company has a 12% weighted average cost of capital. Assuming

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Below you will find the operating cash flows (Free Cash Flow) for ABC Corp. The company has a 12% weighted average cost of capital. Assuming that you are using a perpetuity approach to analyze ABC Corp, what is the Enterprise Value using a terminal growth rate of 3%? Dollars in millions Projected FYE 12/31 2022 2023 2024 2025 2026 Sales 500.00 560.00 627.20 702.46 786.76 -Cash COGS and SG&A 400.00 448.00 501.76 561.97 629.41 EBITDA 100.00 112.00 125.44 140.49 157.35 14.10 18.40 18.40 16.20 95.80 20.60 119.89 85.90 107.04 138.95 -Tax basis D&A Operating Income -Taxes Net Operating Profit After Taxes 21.48 23.95 26.76 29.97 34.74 64.43 71.85 80.28 89.92 104.21 14.10 16.20 18.40 20.60 18.40 19.26 21.58 24.16 27.06 17.20 2.20 2.76 3.46 +Depreciation & Amortization -Capex for PP&E - Working Capital Changes Operating Cash Flow Cost of Capital Present Value of Cash Flows 2.46 66.32 3.09 83.26 59.13 74.34 92.09 $1,025.48 million $861.75 million $922.76 million $1.104.17 million

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