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Given: EBIT 2020 $50,000 EBIT growth 5.0% Initial Investment in Assets (CAPEX) $600,000 Initial WC $15,000 Incremental WC/year $1,500 Planning Period Taxes 5 30%
Given: EBIT 2020 $50,000 EBIT growth 5.0% Initial Investment in Assets (CAPEX) $600,000 Initial WC $15,000 Incremental WC/year $1,500 Planning Period Taxes 5 30% WACC Terminal EBITDA Multiple EBIT - Taxes 12.00% 8.6 Planning Period 2020 2021 2022 2023 2024 2025 NOPAT + Depreciation CAPEX - Increase in WC PFCF $600,000 $15,000 -$615,000 Terminal Value Project Value EBITDA Multiple
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Venture capital and the finance of innovation
Authors: Andrew Metrick
2nd Edition
9781118137888, 470454709, 1118137884, 978-0470454701
