Roosevelt, Inc. FCF = 4,711.54 FCF grows at a constant rate= 4.0% WACC = 11.0%...
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Roosevelt, Inc. • FCF = 4,711.54 FCF grows at a constant rate= 4.0% WACC = 11.0% S.T. Investments = 5,000 L.T. Debt = 25,000 I Stocks Outstanding: N = 2,500 What is the: 1. value of operations? 2. value of the firm? 3. value of equity? 4. fair or implied price of one share of stock? Formulas: FCF₁ = FCFox (1+g) VOP = FCF₁ ÷ (WACC-g₁) VFirm = VOP+ S.T. Investments VEquity = VFirm - Debts Po = VEquity + N Roosevelt, Inc. • FCF = 4,711.54 FCF grows at a constant rate= 4.0% WACC = 11.0% S.T. Investments = 5,000 L.T. Debt = 25,000 I Stocks Outstanding: N = 2,500 What is the: 1. value of operations? 2. value of the firm? 3. value of equity? 4. fair or implied price of one share of stock? Formulas: FCF₁ = FCFox (1+g) VOP = FCF₁ ÷ (WACC-g₁) VFirm = VOP+ S.T. Investments VEquity = VFirm - Debts Po = VEquity + N
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Related Book For
Calculus For Scientists And Engineers Early Transcendentals
ISBN: 9780321849212
1st Edition
Authors: William L Briggs, Bernard Gillett, Bill L Briggs, Lyle Cochran
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