How sensitive is your valuation to inputs

Assignment Help Financial Management

Reference no: EM132043131

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 35%

Terminal Year 5

please answer the following questions

What percentage the terminal value contributes to the total enterprise value?

How sensitive is your valuation to inputs?

Reference no: EM132043131

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