Q

Imagine that you are a financial advisor for Netflix, Inc., and Amazon.com, Inc. You are tasked with creating a comprehensive forecast of the revenue, costs, and cash flows of these companies, answering key questions that may influence their future decisions.

To prepare for this Assignment, use the Netflix and Amazon Data Spreadsheet, located in this weeks Learning Resources, to generate a pro forma forecast and consider what this indicates about the future for these two companies.

In a 1- to 2-page paper, provide the following:

• A forecast of Netflix, Inc., and Amazon.com, Inc.s revenue, costs, and estimated cash flows into the next five years.
• The appropriatediscount ratefor Netflix, Inc., and Amazon.com, Inc.s forecasted cash flows.
• An appropriate risk-adjusted rate of return for use in evaluating an investment in Netflix, Inc., and Amazon.com, Inc.
• A determination of theestimated fair market valueof 100% of Netflix, Inc., and Amazon.com, Inc.s equity.

PLEASE INCLUDE IN TEXT CITATIONS AND A REFERENCE PAGE