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i need help please 0 25,000 1 25,000 2 25,000 3 25,000 2 3 4 5 6 7 8 3 LO 1 Income Statement Year

i need help please
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0 25,000 1 25,000 2 25,000 3 25,000 2 3 4 5 6 7 8 3 LO 1 Income Statement Year Revenue Growth Rate (%) EBIT Interest EBT Taxes Net Income Profit Margin 0 0 0 0 0 0 0.0% OOOOO 0 0 0.0% 0.0% 0.0% 2 3 4 4 ON 3 0 FCF Year Net Income D&A CFFO Capex FCF Discount Factor PV of FCF 0 0 220 220 (280) (60) 1 0 250 250 (300) 270 270 (320) (50) 1.0000 (50) (50) 285 285 (340) (55) 1.0000 (55) 1.0000 (50) Terminal Value 4Y FCF TV(3Y) PV of TV (3) Enterprise Value Sum of PV PV of TV EV (155) (155) Assumptions EBIT Tax Rate WACC LT FCF growth Rate 1) Revenue will grow 4% in years 1, 2, & 3 2) Revenue will then grow 2% in perpetuity 3) EBIT Margin is 22% 4) Interest expense is 0 5) Tax rate is 25% 6) WACC is 12% 7) LT FCF Growth) rate is 3% TV, FCFF WACC-g FCFF *(1+g)_2,649x(1.02) WACC-8 9.31% -2% 36,963 Questions 1) Assume 10,000 in debt. What is the equity value assuming above assumptions and DCF methodology? 2) Now assume Comps trade at Comp A 2.5 Comp B EV/Revenue Comp 3.2 Average 3.0 EV/EBITDA 14.0 12.2 16.8 P/E 21.0 19.0 22.0 Calculate the average and apply those to Year O numbers for Target Inc. What is the range of equity values using these 3 ratios

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