Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. problem 4 (6 points) idx technologies is a private

Problem 4 (6 points) IDX Technologies is a privately held developer of advanced security systems...

70.2K

Verified Solution

Question

Finance

image

Problem 4 (6 points) IDX Technologies is a privately held developer of advanced security systems based in Chicago. As part of your business development strategy, in late 2008 you initiate discussions with IDX's founder about the possibility of acquiring the business at the end of 2008. Estimate the value of IDX per share using a discounted FCF approach and the following data: Debt: $38 million Excess cash: $118 million Shares outstanding: 50 million Expected FCF in 2009: $46 million Expected FCF in 2010: $57 million Future FCF growth rate beyond 2010: 4% Weighted-average cost of capital: 9.4% hare

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

a) Calculate mean duration and standard deviation for all the activities using the beta distribution. [4pts]    b)...

Statistics
Q

Calculate the macroscopic thermal neutron absorption cross section for uranium enriched to 5% a/o 235U.

Physics
Q

An article includes the accompanying data on compression strength (lb) for a sample of 12-oz aluminum...

Basic Math
Q

Simply Charming Inc. had the following financial information for 2013. Prepare the...

Accounting
Q

True or false; Purchased goodwill may be capitalised but internally-generated goodwill...

Accounting
Q

1. MC.13.94.ALGO Question Content Area The charter of a corporation provides for the issuance of...

Accounting
Q

Reporting Stockholders' Equity On December 31, Nakoma Inc. had the following account balances

Accounting
Q

Marigold Corp. uses dollar-value LIFO method of computing its inventory cost. Data for the past...

Accounting
Q

I just need an explanation with the answer on number 23. Thanks 23)...

Accounting
Q

Accounting
Q

Mr. Francisco Rosario started a consulting service business in Newark, New Jersey on January 1,...

Accounting
Q

Prepare the journat entry to recognize the income tax benefit of the net operating loss....

Accounting