Question 1 Based on the following JBH's projected free cash flows to equity holders between...

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Question 1 Based on the following JBH's projected free cash flows to equity holders between 2020 and 2022, estimate the total equity value of JBH using the discounted cash flow model if analysts forecast the company's FCFE will grow at 5% p.a. constantly beyond the three-year forecast period, assuming that JBH's cost of equity is 15%? Develop an Excel template to calculate the following: a) present value of FCFE in 2020, 2021 and 2022 b) present value of the terminal value of FCFE beyond 2022 c) present value of FCFE d) share value estimate (the weighted average of shares outstanding is 500 000) 2021F 2022F 2020F 128 389 FCFE 195 506 224 841

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