Question: Conduct a Monte Carlo simulation that focuses on two primary inputs: WACC and long-term growth rate. You have also decided that while both inputs are

Conduct a Monte Carlo simulation that focuses on two primary inputs: WACC and long-term growth rate. You have also decided that while both inputs are bounded from below, it is still reasonable to assume that both follow a normal distribution.

The primary inputs of WACC and long term growth rate are : https://docs.google.com/spreadsheets/d/1pzbH-pz6Cb4XpOqC2L7rm31Yds63I4lBVvZ1gu0fnUA/edit#gid=515818547

Would like you to use the data in there to create a similar type of simulation seen in the second sheet: https://docs.google.com/spreadsheets/d/1AeiHz8eymWgYO9QhsrJE21mw-tS2DWYO3aaehcZR_6A/edit?usp=sharing

Put your answer in spreadsheet.

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!