Question
How does the DCF model change when you are valuing equity versus valuing the firrm? 2. In a DCF model, how does depreciation relate to
How does the DCF model change when you are valuing equity versus valuing the firrm?
2. In a DCF model, how does depreciation relate to CapEx?
3. How do you deal with the commodity cycle in building a DCF for a company that has sensitivity to a particular commodity?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
1 When valuing equity using a DCF Discounted Cash Flow model the focus is on estimating the future cash flows attributable to equity holders such as dividends or distributions The valuation is based o...
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Step: 2
Step: 3
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Entrepreneurial Finance
Authors: J. Chris Leach, Ronald W. Melicher
6th edition
1305968352, 978-1337635653, 978-1305968356
