The following uses 15% discount rate: 1,The sixth project has estimated free cash flows (FCF)...
80.2K
Verified Solution
Question
Finance
The following uses 15% discount rate:
1,The sixth project has estimated free cash flows (FCF) of $ 900,000 , \$900,300 , $802,000 , $ 1,000,000 , and $1,042,000 over next five years and believes that subsequent cash flows will grow at a constant rate of 3% forever. Calculate the TODAY's terminal value of cash flows and total value of the project .
2. The last project has the same FCF with the sixth project . However , in the last projection period (year 5 ), the project has EBITDA of \$8,500,000 and assume its EBITDA exit multiple of 10. Calculate the TODAY's terminal value of cash flows and total value of the project .
please show all formula's used in excel.
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
- Unlimited Question Access with detailed Answers
- Zin AI - 3 Million Words
- 10 Dall-E 3 Images
- 20 Plot Generations
- Conversation with Dialogue Memory
- No Ads, Ever!
- Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Other questions asked by students
StudyZin's Question Purchase
1 Answer
$0.99
(Save $1 )
One time Pay
- No Ads
- Answer to 1 Question
- Get free Zin AI - 50 Thousand Words per Month
Unlimited
$4.99*
(Save $5 )
Billed Monthly
- No Ads
- Answers to Unlimited Questions
- Get free Zin AI - 3 Million Words per Month
*First month only
Free
$0
- Get this answer for free!
- Sign up now to unlock the answer instantly
You can see the logs in the Dashboard.