b) Use the free cashflow model to calculate the value of the company. (10) Year 0 1 2 3 Free cash flows Terminal value* Net relevant cash flows P/Y CF0 CF1 CF, 2 CF3 NPV FCF per share
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![b) Use the free cashflow model to calculate the value of the company. (10)
Year
0
1
2
3
Free cash flows
Terminal value*
Net relevant cash flows
P/Y
CF0
CF1
CF, 2
CF3
NPV
FCF
per
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- a. In which section of the statement of cash flows will this information appear? b. What value will apear? , why? . please make sure the answer is correct 100%Consider the following cash flows: Year Cash Flow 0 −$ 33,500 1 13,500 2 18,200 3 10,900 What is the IRR of the cash flows?Determine the ERR (External rate of return) of the cash flows if external rate (e) is given as %22. Cash Flow Year 0 1 2 3 4 5 6 7 Select one: a.0.2565 b.0.2638 c.0.3073 d.0.2988 e.0.3491 f.0.2783 -5000 2000 4000 -1500 3000 4000 -6000 9000
- FIND (x)FOR THE SHOWN CASH-FLOW DIAGRAMS USE:i=9% 20000 ifr 3 12000 X 8000Hi is the implied cash flow changes from payables £-12000? ThanksWhich of the following cash flow streams could be evaluated using the basic Internal Rate of Return (IRR) method? A. CF1 $100 CF2 = -$20 CF3 - $20 B. CF1 =-$100 CF2 $20 CF3 $20 c. CF1 -$100 CF2 = $20 CFJ -$20 D. CF1 $100 CF2 = $20 CFJ $20 All of the above E.
- Please answer the following question. In this method, the company compares the amount spent on the investment with the discounted expected future cash inflows. a.Payback b.NRV c.Investment d.IRRFundamentals of Engineering Economy (8012101-2) Based on the interest rates and cash flows shown in the cash flow diagram, determine the value of $X.1. should the terminal cashflow be used to calculate the net present value of a company? Give reasons for your answer. 2. Calculate the net present value (NPV) with the information in the attached table.
- When calculating an i* value, all net positive cash flows are assumed to be reinvested at:a. the current market interest rate.b. the i* rate.c. the company’s MARR.d. the company’s cost of capital.Consider the following cash flows: Year Cash Flow 0 123 2 33,500 13,500 18,200 10,900Using this cash flow diagram, Identify the missing P at year 0.