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The simple model below applies these assumptions. We have added the Total Free Cash Flow and Discounted Cash Flow in the rightmost column. Note :
The simple model below applies these assumptions. We have added the Total Free Cash Flow and Discounted Cash Flow in the rightmost column. Note : The discount rate used for the Terminal Value is that of the last year for which a cash flow is explicitly forecasted The value of a company is the Discounted Cash Flow of all future Free Cash Flow Therefore, this company is valued to be $142.86 dollars in the current year. You are now going to develop forecasts for this company. If the Growth Rate was 5% and the Discount Rate was 12% what would be the value of the company (DCF)? Enter a value not a formula. If the Growth Rate was 0% and the Discount Rate was 6% what would be the value of the company (DCF)? Enter a value not a formula
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