A. Using the DCF method, calculate the value of the company that has the following cash flows.

Year 1: $5,000

Year 2: $10,000

Assume a 30% discount rate.

$15,000

$9,763

$3,846

$5,917

B. What is the PV of the cash flows for Year 3 (only Year 3) of the following set of cash flows (assuming a 35% discount rate)?

Year 1: $250,000

Year 2: $355,000

Year 3: $295,000

$88,756.45

$91,344.88

$119,900.42

$108,355.51