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Company Z has the following cash flows. Using the information below, what is the value of the company, including the terminal value, using the discounted

Company Z has the following cash flows. Using the information below, what is the value of the company, including the terminal value, using the discounted cash flow analysis?

year 0 year 1 year 2 year 3 year 4 year 5+
purchase price/free cash flow (525,000) 25,000 220,000 250,000 310,000 320,000
weighted average cot of capital 8&
growth rate in perpetuity 4%

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