Question: Looking at the original question - how should the simple DCF be calculated? Finding the cost of equity using CAPM, and then finding the PV

Looking at the original question - how should the simple DCF be calculated? Finding the cost of equity using CAPM, and then finding the PV of future cash flows?
Assess the bid for PacifiCorp. How does it compare with the firms intrinsic value? As an alternative, the instructor could suggest that students perform a simple discounted cash-flow (DCF) analysis. Should Berkshire Hathaways shareholders endorse the acquisition of PacifiCorp?

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