Libra plc has an estimated terminal value (representing cash flows beyond the planning horizon) of 100 million.

Question:

Libra plc has an estimated terminal value (representing cash flows beyond the planning horizon) of £100 million. What is the present value of this figure assuming a discount rate of 12 per cent and a planning horizon of:

(a) 5 years

(b) 10 years

(c) 15 years?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question
Question Posted: