The expected Cash Flow From Assets of The Skate Shop for the next two years are $208,000 and $218,000 respectively. After these two years, the growth rate of these cash flows will be a constant 4.7%  per year.Assuming a discount rate of 9.7%,  what is the present value of the terminal value of this firm?

2.Your expected income will grow at 6% per year for the next five years. After that your incomegrowth is expected to slow to 3% per year and continue at that level forever. Your currentincome is AED 500,000. What is the present value of all future earnings if the interestrate is 8%? (Assume all cash flows occur at the end of the year.)

A business worth $180,000 is expected to grow at 12% per year compounded annually for the next 4 years. (a) Find the expected future value. (b) If funds from the sale of the business today would be placed in an account yielding 8% compounded semiannually, what would be the minimum acceptable price for the business at this time?

A dry cleaning store is expected to make annual cash flows forever. The cost of capital for the store is 14.01 percent. The next annual cash flow is expected in one year from today and all subsequent cash flows are expected to grow annually by 3.49 percent. What is the value of the dry cleaning store if the cash flow in 5 years from today is expected to be $236,000.007 O $1,955,702.16 (plus or minus 10 dollars) O $1,408,521.54 (plus or minus 10 dollars) O $1,164,612.73 (plus or minus 10 dollars) O $2,243,346.01 (plus or minus 10 dollars) $1.084,511.06 (plus or minus 10 dollars)

An investment is expected to generate annual cash flows forever. The first annual cash flow is expected in 1 year and all subsequent annual cash flows are expected to grow at a constant rate annually. We know that the cash flow expected in 1 years from today is expected to be $50.00 and the cash flow expected in 4 years from today is expected to be $55.64. What is the cash flow expected to be in 3 years from today?(Round the value to 100th decimal)

Shabbona Partners expects to have free cash flows of $38,950,000 next year, and free cash flows are expected to grow at a constant rate of 3% per year. If the firm's WACC is 9% per year, what is the value of Shabbona's operations?

Luthor Corp. is expected to generate a free cash flow (FCF) of $6,415.00 million this year (FCF₁ = $6,415.00 million), and the FCF is expected to grow at a rate of 25.00% over the following two years (FCF₂ and FCF₃). After the third year, however, the FCF is expected to grow at a constant rate of 3.90% per year, which will last forever (FCF₄). Assume the firm has no nonoperating assets. If Luthor Corp.’s weighted average cost of capital (WACC) is 11.70%, what is the current total firm value of Luthor Corp.? (Note: Round all intermediate calculations to two decimal places.) A.) $152,879.38 million   B.) $115,164.84 million   C.) $19,362.07 million   D.) $138,197.81 million     Luthor Corp.’s debt has a market value of $86,374 million, and Luthor Corp. has no preferred stock. If Luthor Corp. has 675 million shares of common stock outstanding, what is Luthor Corp.’s estimated intrinsic value per share of common stock? (Note: Round all intermediate calculations to…

Demo Inc. is expected to generate a free cash flow (FCF) of $8,715.00 million this year (FCF1 = $8,715.00 million), and the FCF is expected to grow at a rate of 25.00% over the following two years (FCF2 and FCF). After the third year, however, the FCF is expected to grow at a constant rate of 3.90% per year, which will last forever (FCF4). Assume the firm has no nonoperating assets. If Demo Inc.'s weighted average cost of capital (WACC) is 11.70%, what is the current total firm value of Demo Inc.? (Note: Round all intermediate calculations to two decimal places.) $156,455.46 million $26,304.04 million $207,691.99 million $187,746.55 million Demo Inc.'s debt has a market value of $117,342 million, and Demo Inc. has no preferred stock. If Demo Inc. has 600 million shares of common stock outstanding, what is Demo Inc.'s estimated intrinsic value per share of common stock? (Note: Round all intermediate calculations to two decimal places.) $64.19 $71.71 $ 65.19 $195.57

A company expects to receive the following cash flows $2,000 for the first ten years and then $3,000 for the next ten years. The discount rate is 10.0%. What is the present value of this 20-year cash flow? 7.

Kinkead Inc. forecasts that its free cash flow in the coming year, i.e., at t = 1, will be −$10 million, but its FCF at t = 2 will be $20 million. After Year 2, FCF is expected to grow at a constant rate of 4% forever. If the weighted average cost of capital is 14%, what is the firm's value of operations, in millions?   a. $167     b. $158     c. $193     d. $175     e. $18