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estimate a second stage also called the stable stage growth rate in dividends g for use in the two stage

 
 

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1. Estimate a second stage (also called the stable stage) growth rate in dividends, g2, for use in the Two-Stage ...

Two-Stage DDM. Your estimate for g2 is the growth rate that you expect will continue “forever” in the second stage. Your estimate for g2 should not be much greater than the expected future growth in the overall economy (expected growth in GDP). Why? LIST your estimate for g2 and provide a short paragraph that EXPLAINS your reasoning AND the source of your estimate for long-term growth in GDP. Finally, estimate and LIST a price per share for KO using your estimates for g1, N, Re, g2 and KO’s current annual dividend (most recent quarterly dividend x 4) as D(0) in the Two-Stage DDM (submit your spreadsheet).
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2.Assume that the average annual FCFF from Q5 is good estimate of KO’s FCFF(0) for use in the FCFM. ...

LIST your estimate for FCFF(0) then estimate and LIST a price per share for KO using your estimates for g1, N, WACC, g2 and FCFF(0) in the Two-Stage FCFFM (submit your spreadsheet).Use the same estimate second stage or stable stage growth, g2, in the FCFFM that you selected for the DDM.
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3.1. Estimate a second stage (also called the stable stage) growth rate in dividends, g2, for use in the Two-Stage ...

he Two-Stage DDM. Your estimate for g2 is the growth rate that you expect will continue “forever” in the second stage. Your estimate for g2 should not be much greater than the expected future growth in the overall economy (expected growth in GDP). Why? LIST your estimate for g2 and provide a short paragraph that EXPLAINS your reasoning AND the source of your estimate for long-term growth in GDP. Finally, estimate and LIST a price per share for KO using your estimates for g1, N, Re, g2 and KO’s current annual dividend (most recent quarterly dividend x 4) as D(0) in the Two-Stage DDM (submit your spreadsheet). 2. Calculate KO’s FCFF for EACH of the past five (5) years using the financial statement data found in KO’s annual reports and using the FCFFM.xls template. The template will calculate the annual FCFF value for you, but you MUST insert the correct input values for Depreciation & Amortization, Capital Investment, Capital Sales, etc. 3. Assume that the average annual FCFF from Q5 is good estimate of KO’s FCFF(0) for use in the FCFM. LIST your estimate for FCFF(0) then estimate and LIST a price per share for KO using your estimates for g1, N, WACC, g2 and FCFF(0) in the Two-Stage FCFFM (submit your spreadsheet).Use the same estimate second stage or stable stage growth, g2, in the FCFFM that you selected for the DDM. 4. Apply Relative Valuation methods to Coca-Cola (KO) using the following three (3) popular relative valuation ratios - Price/Earnings, Price/Book, Price/Sales (call these three ratios Price/”X” ratios). Select at least five (5) comparable firms that are in the same industry as KO and use the average P/X ratio for the group of comparable firms in your valuation analysis. The P/X ratios for the template can be found by using the screener on the Finviz.comwebsite. Use the Relative Valuation (RV) Excel spreadsheet tab found in the Two Stage_DDM_FCFE_FCFF_RV.xlsx file.
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4.Directions: You are part of a fireworks crew assembling a local fireworks display. There are two parts to the fireworks platforms: ...

rts to the fireworks platforms: one part is on the ground and the other part is on top of a building. You are going to graph all of your results on one coordinate plane. Make sure to label each graph with its equation. Use the following equations to assist with this assignment. • The function for objects dropped from a height where t is the time in seconds, h is the height in feet at time it t, and 0 h is the initial height is 2 0 ht t h ( ) 16 =− + . • The function for objects that are launched where t is the time in seconds, h is the height in feet at time t, 0 h is the initial height, and 0 v is the initial velocity in feet per second is 2 0 0 ht t vt h ( ) 16 =− + + . Select the link below to access centimeter grid paper for your portfolio. Centimeter Grid Paper Task 1 First, conduct some research to help you with later portions of this portfolio assessment. • Find a local building and estimate its height. How tall do you think the building is? • Use the Internet to find some initial velocities for different types of fireworks. What are some of the initial velocities that you found? Task 2 Respond to the following items. 1. While setting up a fireworks display, you have a tool at the top of the building and need to drop it to a coworker below. a. How long will it take the tool to fall to the ground? (Hint: use the first equation that you were given above, 2 0 ht t h ( ) 16 =− + . For the building’s height, use the height of the building that you estimated in Task 1.) b. Draw a graph that represents the path of this tool falling to the ground. Be sure to label your axes with a title and a scale. Your graph should show the height of the tool, h, after t seconds have passed. Label this line “Tool”.
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1.AU MAT 120 Systems of Linear Equations and Inequalities Discussion

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