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Unformatted text preview: (in percent) Cost of capital = 7.62% Debt Ratio (D / (D + E)) = 7.23% (in percent) Stable Growth Period Growth rate in steady state = 3.50% (in percent) Return on capital in stable growth 10.50% AT Operating Margin 10.50% Reinvestment Rate in Stable growth 33.33% Sales/BV Capital 1.00 Cost of Equity in steady state = 8.00% (in percent) Return on Capital = 10.50% After-tax Cost of Debt = 2.70% (in percent) Debt Ratio (D / (D + E)) = 20.00% (in percent) Cost of capital = 6.9400% Output Enterprise Value = $122,123.47 EV/EBIT = 14.45 EV/EBITDA = 12.35 EV/EBIT(1-t) = 24.09 EV/Sales = 3.48 EV/Capital Invested = 3.86...
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This note was uploaded on 01/29/2012 for the course FIN 6000 taught by Professor Banko during the Fall '11 term at University of Florida.
- Fall '11