Question: Question 2: 10X Technologies is a privately held developer of advanced security systems based in Chicago. As part of your business development strategy, in late

Question 2: 10X Technologies is a privately held developer of advanced

Question 2: 10X Technologies is a privately held developer of advanced security systems based in Chicago. As part of your business development strategy, in late 2008 you initiate discussions with ID founder about the possibility of acquiring the business at the end of 2008. Given the following data: 2020 516 2021 547 2022 574 Units million Year 2019 Sales 468 Cost of goods sold (67% Sale Selling general, and administrative expenses (20% Sales Depreciation 7 Tax rate (40%) Capital expenditure investment in find assets) 2.2 Investment in networking capital 6.3 7.5 9 95 104 10 86 9.9 5.6 49 After 2022, free cash flow (FCF) is expected to grow at 5% per year, indefinitely Weighted average cost of capital: use WACC calculated in Question above Estimate the intrinsic value of IDX using the discounted free cash flow approach

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