Describe the competitive forces in the Walt Disney company industry, provide 2 competitors including the company's relative advantages and disadvantages to its competitors, can you provide a buy or sell recommendation and estimated price target. for the Walt Disney company

The Walt Disney company’s intrinsic value for 2018 using the discount valuation techniques

Calculate the Intrinsic Value of The Walt Disney Company:

You will use the Discounted Cash Flow (DCF) valuation model to calculate the intrinsic value of the Walt Disney company. This model involves three primary steps: i) calculating the company's cost of capital, ii) calculating the free cash flows to the firm, and ii) applying the time-value-of-money concept to discount your projected cash flow values back to the present using the company's cost of capital as the discount rate.

Calculating the Cost of Capital:

The company's cost of capital can be calculated using the Weighted Average Cost of Capital (WACC) formula:

WACC = D/V * eD *(1-Tc) + E/V * rE

Using the website, ThatsWACC (www.thatswacc.com), enter your company's "ticker symbol", identify the relevant terms from above and calculate the WACC (please show your calculations).

Calculating Free Cash Flow to the Firm:

Estimate the free cash flows available to the firm ("FCFF"). To do this we can use the below formula:

FCFF = Cash Flow from Operations - Capital Expenditures + Interest * (1 - Tax Rate)

The Cash Flow from Operations and Capital Expenditures can be found on the Statement of Cash Flows in Yahoo! Finance.

The Interest expense (if any exists) is on the Income Statement.

The Tax Rate is the one you used to calculate the WACC, above.

For additional details on these calculations please refer to this external resource.

Calculating Firm Value:

You can now combine the two items above to estimate a present value of the firm. To simplify this calculation you should assume a constant growth rate of 3% in the Free Cash Flows to the Firm and apply the constant growth model:

Firm Value = FCFF * (1+g) / (WACC - g)

Please solve this case problem:

SunLife insurance has been trying to penetrate the mass market and educate them on the benefits and importance of life and other investment insurance. They have used several TV personalities like Charo Santos and Piolo Pascual to penetrate the segment, with limited success. People are aware of the brand, but are still not taking insurance due to various issues like affordability and distribution. Use the Ansoff Matrix and recommend how they can expand their market with an incremental 5 million heads by penetrating a new customer segment.

How are "Interest Rate Swaps" used by corporations and banks to hedged risks?

Q: The bond equivalent yield on a T-bill matures in 45 days, priced at $99.00 with a $100 face value, is ____:

A: BEY = 1.01% * 8.111 = 8.19%

Above is the question and the solution but, I am confused about how they came to this solution. I'm not sure where the 1.01% or 8.111 came from?? Any help would be appreciated!

Are Swaps optimal for risk transfer for banks and local governments Why or Why not?

Q1

a)

Given the following cashflows for Project Omega, what is the payback period in years assuming the cashflows occur annually?

b)

Project X and Y. The following are the cash flows of two projects:

If the discount rate is 18% is the project with the highest profitability index also the one with the highest NPV?

Yes

No

c)

he cashflows for an investment in Factory X are listed below. Using the discounted payback method of capital budgeting, what is the payback period for this investment expressed in years, assuming that the cashflows occur annually and using a discount rate of 20%.  

A bond with exactly five years until maturity paying 6% p.a. coupons semi-annually and with a face value of $100 was purchased at a yield of 6.5% p.a. The bond was sold exactly two years later for a yield of 5% p.a. All coupons were reinvested at 6% p.a. Calculate the realised yield-to-maturity on this bond.A bond with exactly five years until maturity paying 6% p.a. coupons semi-annually and with a face value of $100 was purchased at a yield of 6.5% p.a. The bond was sold exactly two years later for a yield of 5% p.a. All coupons were reinvested at 6% p.a. Calculate the realised yield-to-maturity on this bond.

What considerations should a firm make when pricing their goods/services?

Evaluate the following projects using the payback method assuming a rule of 3 years for payback.

General Electric has just issued a callable​ (at par)​ 10-year, 5.7 % coupon bond with annual coupon payments. The bond can be called at par in one year or anytime thereafter on a coupon payment date. It has a price of $ 101.87. a. What is the​ bond's yield to​ maturity? b. What is its yield to​ call? c. What is its yield to​ worst?

Suppose you opened a new account and invested $10,000 in your asset in the beginning of 2014, that on June 30, 2016 you invested an additional $5,000, and that on January 31, 2017 you withdrew $2,000.  

If there were no other cash flows coming into or out of the account, what was the dollar balance at the end of 2018 (yes, do include the effect of the return earned during December 2018)?

Rate of return -0.88

New-Project Analysis

The Campbell Company is considering adding a robotic paint sprayer to its production line. The sprayer's base price is $920,000, and it would cost another $19,000 to install it. The machine falls into the MACRS 3-year class (the applicable MACRS depreciation rates are 33.33%, 44.45%, 14.81%, and 7.41%), and it would be sold after 3 years for $630,000. The machine would require an increase in net working capital (inventory) of $18,000. The sprayer would not change revenues, but it is expected to save the firm $416,000 per year in before-tax operating costs, mainly labor. Campbell's marginal tax rate is 30%.

1. What is the Year 0 net cash flow?
   $
2. What are the net operating cash flows in Years 1, 2, and 3? Do not round intermediate calculations. Round your answers to the nearest dollar.

   Year 1	$
   Year 2	$
   Year 3	$

3. What is the additional Year 3 cash flow (i.e, the after-tax salvage and the return of working capital)? Do not round intermediate calculations. Round your answer to the nearest dollar.
   $
4. If the project's cost of capital is 10 %, what is the NPV of the project? Do not round intermediate calculations. Round your answer to the nearest dollar.
   $
   
   Should the machine be purchased?
   y/n

On September 7​, the billing​ date, Verna had a balance due of ​$565.85 on her credit card. Assume that the interest rate is​ 1.1% per month. Suppose that​ Verna's bank uses the average daily balance method. Answer parts​ (a) through​ (d). Sept. 11 Payment ​$280.00 Sept. 23 ​Charge: Airline ticket ​$332.00 Sept. 24 ​Charge: Hotel bill ​$190.01 Oct. 2 ​Charge: Clothing ​$84.91 ​a) Determine​ Verna's average daily balance for the billing period from September 7 to October 7. The average daily balance for the billing period was ​$

Upton Computers makes bulk purchases of small computers, stocks them in conveniently located warehouses, ships them to its chain of retail stores, and has a staff to advise customers and help them set up their new computers. Upton's balance sheet as of December 31, 2016, is shown here (millions of dollars):

Sales for 2016 were $200 million and net income for the year was $6 million, so the firm's profit margin was 3.0%. Upton paid dividends of $2.4 million to common stockholders, so its payout ratio was 40%. Its tax rate was 40%, and it operated at full capacity. Assume that all assets/sales ratios, (spontaneous liabilities)/sales ratios, the profit margin, and the payout ratio remain constant in 2017. Do not round intermediate calculations.

1. If sales are projected to increase by $100 million, or 50%, during 2017, use the AFN equation to determine Upton's projected external capital requirements. Enter your answer in millions. For example, an answer of $1.2 million should be entered as 1.2, not 1,200,000. Round your answer to two decimal places.
   $ million
   
2. Using the AFN equation, determine Upton's self-supporting growth rate. That is, what is the maximum growth rate the firm can achieve without having to employ nonspontaneous external funds? Round your answer to two decimal places.
   %
   
3. Use the forecasted financial statement method to forecast Upton's balance sheet for December 31, 2017. Assume that all additional external capital is raised as a line of credit at the end of the year and is reflected (because the debt is added at the end of the year, there will be no additional interest expense due to the new debt).
   Assume Upton's profit margin and dividend payout ratio will be the same in 2017 as they were in 2016. What is the amount of the line of credit reported on the 2017 forecasted balance sheets? (Hint: You don't need to forecast the income statements because the line of credit is taken out on last day of the year and you are given the projected sales, profit margin, and dividend payout ratio; these figures allow you to calculate the 2017 addition to retained earnings for the balance sheet without actually constructing a full income statement.) Round your answers to the nearest cent.

   Upton Computers Pro Forma Balance Sheet December 31, 2017 (Millions of Dollars)
   Cash	$
   Receivables	$
   Inventories	$
   Total current assets	$
   Net fixed assets	$
   Total assets	$
   Accounts payable	$
   Notes payable	$
   Line of credit	$
   Accruals	$
   Total current liabilities	$
   Mortgage loan	$
   Common stock	$
   Retained earnings	$
   Total liabilities and equity	$