AutoSave C. Home Insert Draw Page Layout Formulas Data Review X Times New Roman v 10 A A == Paste B I U v V A > Chapter 15 Build A Model.xlsx Automate General $%9 Read-Only Tell me Conditional Formatting Insert v Format as Table Delete v 00 20 .00 <-→0 Editing Cell Styles v Format View B C D E F G H I 0% 10% 20% 30% 40% 50% 60% 70% 80% 175 65 Xvfx A 66 67 68 69 Additional: using the (hypothetical) free cash flow stream below, calcuate and graph the NPVs (y-axis) against the various 70 Debt/Value Ratios (x-axis) in the space below (similar to Figure 15-8): 71 72 Time 73 FCF 74 0 1 2 3 4 5 -1200500 200000 350000 425000 350000 265000 Debt/Value WACC (from NPV (aka 75 Ratio above table) Firm Value) 76 0% 8.900% 77 10% 8.640% 78 20% 8.488% 79 30% 8.462% 80 40% 8.796% 81 50% 9.520% 82 60% 10.724% 83 70% 12.078% 84 85 86 $1.20 Build a Model + Ready Accessibility: Investigate MAY 6 44 W
AutoSave C. Home Insert Draw Page Layout Formulas Data Review X Times New Roman v 10 A A == Paste B I U v V A > Chapter 15 Build A Model.xlsx Automate General $%9 Read-Only Tell me Conditional Formatting Insert v Format as Table Delete v 00 20 .00 <-→0 Editing Cell Styles v Format View B C D E F G H I 0% 10% 20% 30% 40% 50% 60% 70% 80% 175 65 Xvfx A 66 67 68 69 Additional: using the (hypothetical) free cash flow stream below, calcuate and graph the NPVs (y-axis) against the various 70 Debt/Value Ratios (x-axis) in the space below (similar to Figure 15-8): 71 72 Time 73 FCF 74 0 1 2 3 4 5 -1200500 200000 350000 425000 350000 265000 Debt/Value WACC (from NPV (aka 75 Ratio above table) Firm Value) 76 0% 8.900% 77 10% 8.640% 78 20% 8.488% 79 30% 8.462% 80 40% 8.796% 81 50% 9.520% 82 60% 10.724% 83 70% 12.078% 84 85 86 $1.20 Build a Model + Ready Accessibility: Investigate MAY 6 44 W
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
Related questions
Question
Transcribed Image Text:AutoSave
C.
Home
Insert Draw Page Layout Formulas Data Review
X
Times New Roman
v 10
A A
==
Paste
B
I U v
V
A
>
Chapter 15 Build A Model.xlsx
Automate
General
$%9
Read-Only
Tell me
Conditional Formatting
Insert v
Format as Table
Delete v
00
20
.00 <-→0
Editing
Cell Styles v
Format
View
B
C
D
E
F
G
H
I
0%
10%
20%
30%
40%
50%
60%
70%
80%
175
65
Xvfx
A
66
67
68
69 Additional: using the (hypothetical) free cash flow stream below, calcuate and graph the NPVs (y-axis) against the various
70 Debt/Value Ratios (x-axis) in the space below (similar to Figure 15-8):
71
72 Time
73 FCF
74
0
1
2
3
4
5
-1200500
200000
350000
425000
350000
265000
Debt/Value
WACC (from
NPV (aka
75
Ratio
above table)
Firm Value)
76
0%
8.900%
77
10%
8.640%
78
20%
8.488%
79
30%
8.462%
80
40%
8.796%
81
50%
9.520%
82
60%
10.724%
83
70%
12.078%
84
85
86
$1.20
Build a Model
+
Ready
Accessibility: Investigate
MAY
6
44
W
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