Menu
Doubt fm plz solve
Data of D's corp
Current & projected free cash flows shown below
Actual: ₹606.82 in2013
Projected
2014 = ₹667.50
2015=₹707.55
2016= ₹750.0
Growth is expected to be constant after 2015 & wacc is 11%.
What is continuing or horizon or terminal value at 2016 if growth from 2015 remains constant???????
Replies (4)
Dear Mam,
Terminal Value will be 15900...
Best Regards,
CA Lovely Arora
ca.lovelyarora @ gmail.com
Thankyou. Can you explain the steps and you used please.......
it was calcuated by formula:-
Last year's FCF * (1+growth rate) / (WACC-growth rate)
= Rs. 750 * 1.06 / .11-.06 = Rs. 15900....
Ohh okay... thank you so much again.:)
Recent Topic
- Long Term Capital Loss - Tata Capital unlisted sha
- Section 54F deduction - GST and Stamp Duty cost wh
- Professional Crossed 20 Laks in Dec 26 Failed to T
- F&O in ITR
- CA Final Self pace Module
- Query Regarding House Ownership Transfer Reflected
- Money transction within Family
- ITR-2 salary breakup updation
- Application for ₹2 Crore Term Loan under Cre
- ITR-2 Schedule CG: Indexation cost ignored for lan
Related Topics
CAclubindia
