Suppose Unicorn achieved sales in year six at the median level of comparables of approx., $1.6B, what is the compounded annual growth rate in sales for Unicorn from fiscal year one to fiscal year six to achieve these sales in year six?[1] [1] If you calculate the median sales of comparables in year six, the value is $1,577M. Question 1: The plan is for Unicorn to go public in six years. As noted in the tablebelow, the company expects to see first sales of $10M this current year. Over thenext five years this will grow to approximately $5.6B in year six.Management of Unicorn have produced the following sales forecast for Unicorn, withFY1 being the first year of sales:FY1FY2FУЗFY4FY5FУ6Forecast$10.01,428.8 3,086.5 5,598.2340.562.0Revenues ($M)Growth yoy (%)n/a11652044932081An intern who works for your fund has collected data on companies that haverecently gone public, that operate in the Unicorn's industry - saving you the need todo so. The data is on the tab "Coparables". On this sheet, Comparable 1 through 60are the unimaginatively named comparable companies. Columns FY1 shows thecomparables' revenues in their year of first sale. FY2 is the second year, and so on.

Suppose Unicorn achieved sales in year six at the median level of comparables of approx., $1.6B, what is the compounded annual growth rate in sales for Unicorn from fiscal year one to fiscal year six to achieve these sales in year six?[1] [1] If you calculate the median sales of comparables in year six, the value is $1,577M.

Suppose Unicorn achieved sales in year six at the median level of comparables of approx., $1.6B, what is the compounded annual growth rate in sales for Unicorn from fiscal year one to fiscal year six to achieve these sales in year six?[1] [1] If you calculate the median sales of comparables in year six, the value is $1,577M.

Entrepreneurial Finance

6th Edition

ISBN:9781337635653

Author:Leach

Publisher:Leach

Chapter10: Valuing Early-stage Ventures

Section: Chapter Questions

Problem 2EP

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