{"id":129060,"date":"2023-11-29T13:35:28","date_gmt":"2023-11-29T13:35:28","guid":{"rendered":"https:\/\/learnexams.com\/blog\/?p=129060"},"modified":"2023-11-29T13:35:29","modified_gmt":"2023-11-29T13:35:29","slug":"discounted-cash-flow-model-exam-wallstreet-prep","status":"publish","type":"post","link":"https:\/\/www.learnexams.com\/blog\/2023\/11\/29\/discounted-cash-flow-model-exam-wallstreet-prep\/","title":{"rendered":"Discounted Cash Flow Model Exam Wallstreet Prep"},"content":{"rendered":"\n<p>DCF or discounted cash flow model exam answers for Wall street prep<\/p>\n\n\n\n<p>8\/15\/23, 7:03 PM Completed Exam | Wall Street Prep<br>https:\/\/www.wallstreetprep.com\/completed-exam\/?wsp_selection=76876&amp;course_id=35079 1\/8<br>\uf08bBack to Course | \uf08bExit to Learning Dashboard<br>Review: DCF Modeling Exam<br>Question 1<br>The next two questions use the data below. The data will be repeated on the next question:<br>You have been tasked with building a stand-alone DCF valuation for Milner Beverages, a publicly traded company, using the<br>unlevered two-stage approach. You calculate the following:<br>$ in millions 2017 2018 2019 2020 2021 2022 2023<br>Unlevered free cash flow 110.0 120.0 150.0 170.0 200.0 250.0 280.0<br>In addition, you calculate the following:<br>WACC = 8.00%<br>Perpetuity growth rate (annual growth rate of unlevered free cash flows after 2023) = 3.00%<br>Calculate enterprise value at the beginning of 2017 assuming all cash flows occur at year-end. Use whole numbers (i.e. 1 year<br>exactly equals 1 period when calculating returns and discounting).<br>$4,173.30<br>$4,271.40<br>$4,540.60<br>$6,505.80<br>$6,673.80<br>Question 2<br>This question uses the same data as the previous question, shown below.<br>You have been tasked with building a stand-alone DCF valuation for Milner Beverages, a publicly traded company, using the<br>unlevered two-stage approach. You calculate the following:<br>$ in millions 2017 2018 2019 2020 2021 2022 2023<br>Unlevered free cash flow 110.0 120.0 150.0 170.0 200.0 250.0 280.0<br>In addition, you calculate the following:<br>WACC = 8.00%<br>Perpetuity growth rate (annual growth rate of unlevered free cash flows after 2023) = 3.00%<br>Using the mid-year convention, calculate the enterprise value as of December 31, 2016. Assume all cash flows, including<br>perpetuity cash flows, occur midyear.<br>$4,110.10<br>$4,306.90<br>$4,438.90<br>$6,709.30<br>$6,717.90<br>Powered by <a href=\"https:\/\/learnexams.com\/search\/study?query=\" target=\"_blank\" rel=\"noopener\">https:\/\/learnexams.com\/search\/study?query=<\/a><\/p>\n\n\n\n<div data-wp-interactive=\"core\/file\" class=\"wp-block-file\"><object data-wp-bind--hidden=\"!state.hasPdfPreview\" hidden class=\"wp-block-file__embed\" data=\"https:\/\/learnexams.com\/blog\/wp-content\/uploads\/2023\/11\/Discounted-Cash-Flow-Model-Exam-Wallstreet-Prep.pdf\" type=\"application\/pdf\" style=\"width:100%;height:600px\" aria-label=\"Embed of Discounted-Cash-Flow-Model-Exam-Wallstreet-Prep.\"><\/object><a id=\"wp-block-file--media-572fbaa9-da69-4a4a-aeb7-19b7d797ab5a\" href=\"https:\/\/learnexams.com\/blog\/wp-content\/uploads\/2023\/11\/Discounted-Cash-Flow-Model-Exam-Wallstreet-Prep.pdf\" target=\"_blank\" rel=\"noopener\">Discounted-Cash-Flow-Model-Exam-Wallstreet-Prep<\/a><a href=\"https:\/\/learnexams.com\/blog\/wp-content\/uploads\/2023\/11\/Discounted-Cash-Flow-Model-Exam-Wallstreet-Prep.pdf\" class=\"wp-block-file__button wp-element-button\" aria-describedby=\"wp-block-file--media-572fbaa9-da69-4a4a-aeb7-19b7d797ab5a\" download target=\"_blank\" rel=\"noopener\">Download<\/a><\/div>\n\n\n\n<ul class=\"wp-block-list\">\n<li><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>DCF or discounted cash flow model exam answers for Wall street prep 8\/15\/23, 7:03 PM Completed Exam | Wall Street Prephttps:\/\/www.wallstreetprep.com\/completed-exam\/?wsp_selection=76876&amp;course_id=35079 1\/8\uf08bBack to Course | \uf08bExit to Learning DashboardReview: DCF Modeling ExamQuestion 1The next two questions use the data below. The data will be repeated on the next question:You have been tasked with building a [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[25],"tags":[],"class_list":["post-129060","post","type-post","status-publish","format-standard","hentry","category-exams-certification"],"_links":{"self":[{"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/posts\/129060","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/comments?post=129060"}],"version-history":[{"count":0,"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/posts\/129060\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/media?parent=129060"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/categories?post=129060"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/tags?post=129060"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}