Sample final AK

Sample final AK - Year EPS DIV Rf beta RP k P(3 PV of CFs...

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Year 0 1 2 3 4 EPS 4 4.2 4.41 4.63 4.72 DIV 1 1.05 1.1 1.16 1.18 Rf 4.00% beta 1.3 RP 4.50% k 9.85% P(3) 15.04 PV of CFs 0.96 0.91 12.22 P(0) 14.09 P(2) 14.75 F(1) 13.18
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2009 2010 2011 2012 2013 YEAR 0 1 2 3 4 EBIT 1,500 1,590 1,685 1,787 1,894 Depreciation 150 159 169 179 189 Tax 35% NWC 500 530 562 596 631 - 30 32 34 36 Cap Exp. 2,000 1,000 500 500 OCF 1,193 1,264 1,340 1,420 FCFF (838) 232 806 885 Terminal value 35,406 Value of firm $28,190 ytm (1+ytm)^2-1 2.54% 5.15% 1 30 Equity Debt 2 30 R 9.85% 5.15% 3 30 w 0.5 0.5 4 30 5 30 WACC 6.60% 6 30 7 30 8 30 9 30 10 1030 NWC
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-1 29.3 28.5 27.8 27.1 26.5 25.8 25.2 24.5 23.9 801.3 1040.0
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YTM 5.2% T 3 Coupon rate 4.3% Coupon 21.5 P 975.30 t 1 2 3 4 5 6 CF 21.50 21.50 21.50 21.50 21.50 1,021.50 Duration PV of CF 20.96 20.42 19.91 19.40 18.91 875.70 6-month Annual t*PV 20.96 40.85 59.72 77.61 94.55 5,254.19 5.69 2.84 PV of CF 20.85 20.23 19.62 904.07 964.77 HPR 3.33% EAR 3.33% (holding period is one year)
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Portfolio 10 million Required return 2%
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This note was uploaded on 10/06/2010 for the course ECON FINANCE taught by Professor Kaipommerenke during the Spring '09 term at UCSC.

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Sample final AK - Year EPS DIV Rf beta RP k P(3 PV of CFs...

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