ese 12% es el

CAPM
7. From this information, produce an integral projected cash flow based on Palepu for Year 1

8. Calculate Free Cash Flow, Equity Cash Flow and Free Cash Flow and APV (Adjusted Present Value)

IR 26.88%

g=ROIC*IR 5.00%

g/ROIC=IR 26.88%
Additional Information:
Today Year 1
Cash 16 18
Accts Rec 100 108.6
Accts Payable 45.9 53
70.1 73.6

1
Today Year 1
NOPLAT 25%
EBIT x (1-Tc) 94.5

FCF starting with Gross Cash Flow Noplat no Depr 69.1 Noplant - los capitales invertidos o "ne
Gross CF with Depr. 69.1 Grosh cashflow es el NOPLAT, devolvie

110.5
2 50 million shares
19.16 price
60.7% 82% 958.00 market cap. of equity
39.3% 18% 210.00 value of debt = book value of debt
1,168.00 value of Invested Capital as perceived by the market (price equity)

WACC Rd*(1-Tc) Re
10.921% 0.0107876712328767 0.098424658
9.64% 0.023598820058997 0.07280236
10.895% 0.0105245573003675 0.098424658

3 EV 1,166.99 growing-perpetiity formula: EV= FCF/(

4 -210.00 value of debt = book value of debt

956.99 Intrinsic value of equity

50 million shares
19.14 intrinsic value per share

0.02 Difference in price

5 EP (ROIC-WACC)*IC t-1

ROIC 18.58% Economic spread

WACC 10.921% 7.663%

EP 38.9655308219178
6 IC+EP/(WACC-g) 1,166.56

7 Statement of Changes in Cash Flow

CFO 123

CFI -63.9

CFF -57.1

Change Cash Balance 1.99999999999994

8
CCF 73.1
ECF 57.1 67.1 SI HAY CAMBIO DE DEUDA HACER ASÍ
FCF 69.1 4 ESTA ES LA DIFERENCIA ENTRE EL CCF

APV

APV 1,044.29 vs 1,166.99 what's missing from our logic, why are

Para esto el 0,05 creo que es el g 5% -122.70 several things

dieron en esa misma pregunta
 INCOME STATEMENT Today Year 1 Today
Revenues 800 840 Op. Working Capital 70.1
Operation Cost -640 -672 PPE 438.4
Depr -40 -42
Op. Profit (EBIT) 120 126 IC (3rd form) 508.5

Int. Expense -16 -16 Debt 200

EBT 104 110 Shrhldrs. Equity 308.5

Taxes -26 -27.5 IC (2nd form) 508.5

Net Income 78 82.5

oplant - los capitales invertidos o "net investment"
rosh cashflow es el NOPLAT, devolviendo los intereses
dividend, from clean surplus
Increas in Shrldrs.Eq. Balance

by the market (price equity) o ENTERPRISE VALUE (EV)

rowing-perpetiity formula: EV= FCF/(WACC- tasa de growinging FCF)

esa tasa al parecer es g
book value of debt
DE DEUDA HACER ASÍ
STA ES LA DIFERENCIA ENTRE EL CCF Y FCF es el escudo fiscal

hat's missing from our logic, why are they not the same

everal things
1st D/C Hamada 12% 1.16 10.31%
2nd Book Value vs. PV or market cap
3rd growth, growth alters D/C when ROIC>WACC
 Year 1
73.6 Diferecia de working capital
460.3 CAPEX diferencia de esos dos

533.9

210
323.9

533.9

ividend, from clean surplus

ncreas in Shrldrs.Eq. Balance 15.4
clean surplus 67.1