Ex. 2-With Terminal Value Operating Cashflow $ 100 $ 110 $ 120 $ 30 $ $ 100 $ 120 $ 140 $ 180 $ 200 Сарех $ (50) $ (55) $ (60) $ (50) $ (50) $ (120) $ (60) $ (70) $ (80) $ (80) Free Cash Flow $ 50 $ 55 $ 60 $ (20) $ (50) $ (20) $ 60 $ 70 $ 100 $ 120 Terminal Value $ 2,040 $ 2,160 Discount Rate 8% Growth 2% Present Value $ 46 $ 47 $ 48 $ (15) $ (34) $ (13) $ 35 $ 38 $ 50 $1,000 Total Value $ 1,203 Discount Rate formula 6% 7% 8% 9% 10% 11% 12% 0% 1% 2% Growth Rate 3% 4% 5% 6%

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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How do I fill in this table?

Ex. 2-With Terminal Value
Operating Cashflow
$
100 $
110 $
120 $
30 $
$
100 $
120 $
140 $
180 $
200
Сарех
$
(50) $
(55) $
(60) $
(50) $
(50) $
(120) $
(60) $
(70) $
(80) $
(80)
Free Cash Flow
$
50 $
55 $
60 $
(20) $
(50) $
(20) $
60 $
70 $
100 $ 120
Terminal Value
$ 2,040
$ 2,160
Discount Rate
8%
Growth
2%
Present Value
$
46 $
47 $
48 $
(15) $
(34) $
(13) $
35 $
38 $
50 $1,000
Total Value
$ 1,203
Discount Rate
formula
6%
7%
8%
9%
10%
11%
12%
0%
1%
2%
Growth Rate
3%
4%
5%
6%
Transcribed Image Text:Ex. 2-With Terminal Value Operating Cashflow $ 100 $ 110 $ 120 $ 30 $ $ 100 $ 120 $ 140 $ 180 $ 200 Сарех $ (50) $ (55) $ (60) $ (50) $ (50) $ (120) $ (60) $ (70) $ (80) $ (80) Free Cash Flow $ 50 $ 55 $ 60 $ (20) $ (50) $ (20) $ 60 $ 70 $ 100 $ 120 Terminal Value $ 2,040 $ 2,160 Discount Rate 8% Growth 2% Present Value $ 46 $ 47 $ 48 $ (15) $ (34) $ (13) $ 35 $ 38 $ 50 $1,000 Total Value $ 1,203 Discount Rate formula 6% 7% 8% 9% 10% 11% 12% 0% 1% 2% Growth Rate 3% 4% 5% 6%
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