How do I calculate terminal value on a DCF if growth rate is higher than discount rate? - discount cases
I am working on a analyisis DCF, and the growth rate of 30%. I want to calculate the final value, but say the textbooks, is this year in Terminal 1, split the freer movement in cash through the discount rate minus the growth rate. However, in this case, the discount of 15% and the growth rate is 30%, a negative value, which is clearly wrong. What happened here? Thank you.
Discount Cases How Do I Calculate Terminal Value On A DCF If Growth Rate Is Higher Than Discount Rate?
1 comments:
Have calculated incorrectly because of their R or G. G Retentioin is the return on equity, multiplied. R Rate BTS Beta times less risk of the market without risk.
Otherwise, the problem has to do not with the model. Good luck!
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