Suppose that the forecasted cash flow for a venture is $150,000 and $200,000 for the next two years. After year 2 the venture's cash flow is expected to grow at at a fixed rate of 4% per year. The discount rate for the venture is 12%. What is the value of the venture today?

Answer rating: 100% (QA)

To find the value of the venture today we can use the discounted cash flow DCF method Given the fore... View the full answer