QUESTION 1 Your boss tells you to calculate the enterprise value for Exxon Mobil. To do so, you first forecast their free cash flows for the next ten years. Then, you use a 5% terminal growth rate to estimate the terminal value of Exxon. Finally, you discount all of the cash flows and terminal value to t = 0. After you give the valuation results to your boss, she asks you how using different terminal growth rates - 4% or 6% -- may impact the enterprise value. What is your boss asking you to do? Sensitivity Analysis Break even Analysis Payback Period Cole's Law