What percentage the terminal value contributes to the total enterprise value?How sensitive is your valuation to inputs?
Using the following set of parameters: Gross Margin 40% Fixed Costs $2,000 Revenue Growth Rate for Years 1 to 5 10% FCF Steady Growth 3% Discount Rate 12% Year 1 Revenue $5,000 Tax Rate 21% Terminal Year 5 please answer the following questions 1. what percentage the terminal value contributes to the total enterprise value? […]