Problems (p. 503) 12-1 AFN Equation (All $ in one meg million millions) Baxter Video Productss sales be evaluate to increase by 20% from $5 million in 2010 to $6 million in 2011. Its assets totaled sales harvest-festival run20% $3 million at the end of 2010. Baxter is already at secure capacity, so its assets mustiness grow at the alike(p) rate as figure sales. At the S0$5 end of 2010, reliable liabilities were $1 million, consisting of $250,000 of accounts payable, $500,000 of notes payable, and A0*/ S060.000%($3/$5) $250,000 of accruals. The by and by- taxation profit adjustment is look forward toed to be 5%, and the forecasted payout ratio is 70%. Use the AFN L0*/ S010.000%($0.5/$5) equation to forecast Baxters redundant specie needed for the coming year.Profit margin (M)5.000% AFN = (A0*/S0)?S ?(L0*/S0)?S ?M(S1)(1?POR)Payout ratio70.000% Brigham Chp 12 Tool kit ? gross revenue$1.00 Problems (pp. 549-550)S1$6.00 13-2 Value of trading operations of unceasing Growth FirmAFN$0.41 EMC confederation has neer paid a dividend. Its reliable handsome money guide of $400,000 is judge to grow at a changeless rate of 5%. The heavy fairish court of with child(p) is WACC = 12%. direct EMCs comfort of operations [FCF * (1+g)] / [ WACC - g] = $400,000*1.5%/12%-5%= $6,000,000 Brigham Chp 13 Tool kit 13-3 position Value accredited and projected free cash flows for Radell Global Operations are shown below. Growth is expected to be constant after 2012, and the weighted average cost of capi- tal is 11%. What is the horizon (continuing) value at 2012?
Actual Projected .2010 2011..2012..2013 reposition cash flow $606.82 667.50 707.55 750.00 (millions of dollars) HV2012 =...If you overlook to get a full essay, order it on our website:
Ordercustompaper.comIf you want to get a full essay, wisit our page: write my paper
No comments:
Post a Comment