Question
What is the terminal value at book value? What is the PV of cash flows at hurdle rate of 15%? Year 0 Year 1 Year
What is the terminal value at book value?
What is the PV of cash flows at hurdle rate of 15%?
|
| Year 0 | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 |
|
| 2003 | 2004 | 2005 | 2006 | 2007 | 2008 | 2009 |
| Subtotal | -177,920 | -747,182 | -311,336 | 2,011,179 | 2,980,395 | 3,558,410 | 4,639,662 |
| Plus NWC Savings (Add NWC) | 0 | 9,953 | 155,731 | 19,244 | 27,739 | 46,787 | |
| Subtotal, Cash Flow | -177,920 | -747,182 | -301,384 | 2,166,910 | 2,999,639 | 3,586,149 | 4,686,449 |
| Terminal Value, At Book Value | ? | ||||||
| PV Cash Flows @Hurdle Rate @15% | ? | ? | ? | ? | ? | ? | ? |
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International Corporate Finance
Authors: Mark R. Eaker, Frank J. Fabozzi, Dwight Grant
1st Edition
0030693063, 9780030693069
