Calculate and Complete the followng DCF Model

WACC Calculation
Asset beta	0.82
Risk-free rate	4.86%
Market Risk Premium	5.00%
Cost of debt	6.00%
Target Debt Ratio	27%
Target Equity Ratio	73%
Debt to Equity	0.37
Re-levered equity beta
Cost of equity
WACC

				<=History	Pro Forma =>
Operating Forecasts	2010	2011	2012	2013	2014	2015	2016	2017	Pro forma assumptions
US Sales		250	255	265						4.0%	annual growth
International Sales	225	240	260						8.0%	annual growth
Net Sales		475	495	525
Cost of Goods Sold	200	205	230						43.8%	of sales
Depreciation	40	55	46						20.0%	of beginning net PP&E
Marketing Expense	52	53	53						10.0%	of sales
Other SG&A	148	152	152						29.0%	of sales
EBIT		35	30	44
Supplementary Schedules
Net Working Capital
	working cash	40	30	21						4.0%	of sales
	A/R	175	179	181						126	days sales outstanding	AR = sales*(DSO/365)
	Inventory	250	262	271						430	days of COGS	Inv = cogs*(DCO/365)
	Other CA	33	34	34						6.5%	of sales
	A/P	83	85	86						136	days of COGS	AP = cogs*(DCO/365)
Net working capital	415	419	422
	D NWC
Other assets	24	24	24						4.7%	of sales
	D Other assets
Beginning net PP&E	307	277	232
Capital Expenditures	10	10	10						given and constant
Depreciation	40	55	46						20%	of beginning net PP&E
Ending Net PP&E	277	232	195

Free Cash Flow Calculation				Pro Forma =>
					2013	2014	2015	2016	2017
EBIT
EBIT(1-t)		tax rate =	40%
Depreciation
Capital expenditures
D NWC
D Other assets
Free cash flow
Terminal value	Perp. g =	3%							growing perpetuity
Discount factor
PV(FCF + TV)
PV Enterprise
Less EOY 2008 Debt			235
Estimated Equity Value
number of shares (000,000s)		8.0
Value per share			$ -