Case Study, Corporate Finance

Assignment Help:
B. Zehpher Intelligence
A second possible Acquisition, Zehpher Intelligence, an IT company is
operating in a rapid growth industry.
Relevant financials:
Free cash flow for the past year was $10,000,000
The company’s WACC is 20%
Outstanding shares 150,000
Assets:
Book value of long term debt: $2,000,000
Book value of equity: $20,000,000
What is the value of the firm?
What is the market value of the firm’s equity?
What is the firm’s MVA?
What is the company’s stock price
estion #Minimum 100 words accepted#

Related Discussions:- Case Study

Weighted Average Cost os Capital, Motown Manufacturers are involved in the ...

Motown Manufacturers are involved in the manufacturing of zips, buttons and sewing needles. they need to automate their plant (at a cost of R1 100 000) as a result of a sharp incre

Report on the budgeted versus actual outcomes, You are required to provide ...

You are required to provide a report of approx 500 words or less (excluding attachments and references), accompanied by relevant calculations, in MS Word, MS Excel and/or PDF forma

Investing, Suppose the dividends for the Seger Corporation over the past si...

Suppose the dividends for the Seger Corporation over the past six years were $1.36, $1.44, $1.53, $1.61, $1.71, and $1.76, respectively. Compute the expected share price at the end

Mergers and acquisitions had on a customers access to branc, What effect ha...

What effect have mergers and acquisitions had on a customers access to branches? A: A branch closing which has resulted from a merger need not necessarily mean a lost relations

WACC, The cost of capital for a firm can differ from the cost of capital fo...

The cost of capital for a firm can differ from the cost of capital for each of its businesses. When a firm has multiple businesses, it is important to use the cost of capital appro

Cost of Capital, Calculating Cost of Equity. Bohannon Corporation''s common...

Calculating Cost of Equity. Bohannon Corporation''s common stock has a beta of 1.10. If the risk-free rate is 4.5% and the expected return on the market is 12%, what is the company

Mergers & Acquisitins, Relationship between the size of companies and the r...

Relationship between the size of companies and the role of M & A

Are there safety and soundness implications of mergers?, Q: Are there safet...

Q: Are there safety and soundness implications of mergers? A: No. All mergers require regulatory approval and are subject to intense examination by regulators. If anything, the

Marginal cost of ?rm at equilibrium, Problem: Firm 1 produces cars and the ...

Problem: Firm 1 produces cars and the total cost of producing q cars is given as C(q) = 2q 2 + 5q. a) Assuming the ?rm operates in a perfectly competitive market. Write down th

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd