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Facebook, Inc is the company Complete a 3-5 year forecast for your target company assuming a 10% average growth rate for the duration of the

Facebook, Inc is the company

  1. Complete a 3-5 year forecast for your target company assuming a 10% average growth rate for the duration of the forecast period
  • Assuming a long-term growth rate of 5%
  • Assume the appropriate discount rate for your target company is 12%

2.Explain the impact of using a discount rate of 15% (instead of 12%) for your valuation model. How would the higher discount rate affect your valuation model?

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