Use the template for the ABC Corp. valuation in section $2\mathrm{.}6$ to value Amazon's stock $($AMZN$).$ Assume that the weighted average cost of capital for AMZN is $10\%,$ the growth rate for years $1-5$ is $4\%,$ and that the long$-$term growth rate is $0\%.($Details and a template are on the website that accompanies this book.$)$

CISCO VALUATION

Free cash flow $($FCF$)$

$2$ year ending $28$jul$2012$

Growth rate of FCF$,$ years $1-5$

#REF! #REF!

Long$-$term FCF growth rate

Weighted average cost of capital, WACC

FCF

Year

Today

Year$1($E$)$

Year$2($E$)$

Year$3($E$)$

Year$4($E$)$

Year$5($E$)$

Terminal value

Total

$11$

$12$ Enterprise value

Add back initial cash and marketable

$0NPV(B5,C10$:$G10{)}^{**}(1+B5{)}^{{?}^{{?}^{?}}}0\mathrm{.}5$

$13$ securities

$142012$ liabilities

$15$ Equity value

$16$ Shares outstanding

$17$ Per share

$18$

$19$ Data table: Share value vs LT growth and WACC

$20$ data table header,

$\backslash$table$[[21,],[22,],[23,$WACC $$