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Topic: Free Cash Flow I had answers but I don't know how to get those numbers 4) Discounted Free Cash Flow Model You are asked

Topic: Free Cash Flow

I had answers but I don't know how to get those numbers

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4) Discounted Free Cash Flow Model You are asked to compute the free cash flows of a company for the next 5 years. You receive the following relevant selected information from the incremental earnings forecast In additon, you know that 15% of sales and costs of goods sold must be allocated to the working capital. The weighted average cost of capital is 6%. The company expects a growth rate of its free cash flows of 1% after year 5. a) Compute the free cash flows of the company! 4) Discounted Free Cash Flow Model Free Cash Flows Terminal Value = PV growing perpetuity: 8,38/(0,060,01)

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