Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
6 Cards in this Set
- Front
- Back
Equity Value
|
Number of shares x share price
|
|
Enterprise Value
|
Equity Value
+Debt +Preferred Stock +Noncontrolling Interest -Cash & Cash Equivalents |
|
Unlevered Free Cash Flow
|
Ebit x (1-t)
+Non cash charges -change in operating assets & liabilities -CapEx |
|
Levered Free Cash Flow
|
Net Income
+Non cash charges -change in operating assets & liabilities -CapEx -Mandatory debt repayments |
|
Unlevered Beta
|
Levered Beta/((1+(1-tax rate)*(debt/equity)))
Isolates inherent business risk b/c it removes risk from debt. Answers "What if you ignore debt?" |
|
Levered Beta
|
Unlevered Beta*(1+(1-tax rate)*(debt/equity))
|