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I WOULD LIKE TO SEE THE CALCULATIONS TO LEARN........ALSO, WHEN YOU GIVE THE ANSWER PLEASE PERFORM THE CALCULATION TO CHECK IF IT MATCHES WITH THE

I WOULD LIKE TO SEE THE CALCULATIONS TO LEARN........ALSO, WHEN YOU GIVE THE ANSWER PLEASE PERFORM THE CALCULATION TO CHECK IF IT MATCHES WITH THE ANSWER BECAUSE THIS IS THE SECOND TIME ASKING THE SAME QUESTION IN WHICH THEY JUST PUT THE ANSWER BUT WHEN PERFORMING THE CALCULATION IT DOESNT MATCHES..........A company has a five year weighted average after tax cash flow of $125,000. It has been
determined the discount rate is 19%, short term expected growth is 11%, and long-term sustainable
growth is 3%. The analyst has also determined excess cash of $25,000. What is the value of the
company based on the capitalization of after tax cash flows?
a. $625,000
b. $657,895
c. $781,250
d. $909,090
ABC Company has projected the following cash flows:
Year 1: 85,000
Year 2: 105,000
Year 3: 109,000
Year 4: 115,000
The analyst has determined an appropriate discount rate is 26% and the long-term growth rate is
2%. What is the terminal value?
a.175,596
b.190,229
c.187,096
d.202,687
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