Question: Hi, I need to help confirming my formulas and inputs are correct please. Thanks Enterprise Valuation & Terminal Value Given Gross Margin Fixed Costs $

Hi, I need to help confirming my formulas and inputs are correct please.

Thanks

Hi, I need to help confirming my formulas and inputs are correct

Enterprise Valuation & Terminal Value Given Gross Margin Fixed Costs $ Revenue Growth Rate for Years 1 - 5 FCF Steady Growth Discount Rate Year 1 Revenue $ Tax Rate Terminal Year 40% 2,000 10% 3% 12% 5,000 35% 5 11/1/2011 1 $ 5,000 2,000 2,000 $ $ $ - Revenues Gross profits Fixed Costs Net Operating Income Taxes Free Cash Flow NPV for Years 1-5 Cash Flows Terminal Value (as of Year 5) PV of Terminal Value Enterprise Value PV of Terminal Value / Enterprise Val $ $ $ $ 913 6,901 3,913 4,485 87% 11/1/2012 2 $ 5,500 2,200 ### $ 200 $ 70 $ 130 11/1/2013 3 $ 6,050 2,420 2,000 $ 420 $ 147 $ 273 11/1/2014 4 $ 6,655 2,662 ### $ 662 $ 232 $ 430 Solution Legend Value given in problem Formula/Calculation/Analysis required Crystal Ball Input Crystal Ball Output 11/1/2015 5 $ 7,321 2,928 2,000 $ 928 $ 325 $ 603

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