The name of the company is Marriott International.

i. ii. 8. To determine the stock value based on the Discounted Free Cash Flow Method (DFCF): a. Forecast the free cash flow using the historic data from the financial statements downloaded from Yahoo! Finance to compute the three-year average of the following ratios: EBIT/Sales Tax rate (Income Tax Expense/Income Before Tax) Property, Plant, and Equipment/Sales Depreciation/Property, Plant, and Equipment v. Net Working Capital/Sales b. Create a timeline for the next seven years. c. Forecast future sales based on the most recent year's total revenue growing at the five-year growth rate from Yahoo! Finance for the first five years and the long-term growth rate for years 6 and 7. iv. 1 d. Use the average ratios computed in part (a) to forecast EBIT, Property, Plant, and Equipment, Depreciation, and Net Working Capital for the next seven years. e. Forecast the free cash flow for the next seven years: FCF = EBIT(1 T) + Depreciation - CapitalExpenditures Increases in NWC f. Determine the value of the company in the horizon (the terminal value): FCFn+1 _FCF,(1 +92) V= -95 1-9: 9: = stable growth or long-term growth g Determine the stock price by: Po V + Cash - Debt Shares Outstanding i. ii. 8. To determine the stock value based on the Discounted Free Cash Flow Method (DFCF): a. Forecast the free cash flow using the historic data from the financial statements downloaded from Yahoo! Finance to compute the three-year average of the following ratios: EBIT/Sales Tax rate (Income Tax Expense/Income Before Tax) Property, Plant, and Equipment/Sales Depreciation/Property, Plant, and Equipment v. Net Working Capital/Sales b. Create a timeline for the next seven years. c. Forecast future sales based on the most recent year's total revenue growing at the five-year growth rate from Yahoo! Finance for the first five years and the long-term growth rate for years 6 and 7. iv. 1 d. Use the average ratios computed in part (a) to forecast EBIT, Property, Plant, and Equipment, Depreciation, and Net Working Capital for the next seven years. e. Forecast the free cash flow for the next seven years: FCF = EBIT(1 T) + Depreciation - CapitalExpenditures Increases in NWC f. Determine the value of the company in the horizon (the terminal value): FCFn+1 _FCF,(1 +92) V= -95 1-9: 9: = stable growth or long-term growth g Determine the stock price by: Po V + Cash - Debt Shares Outstanding