If You Use Levered Free Cash Flow, What Should You Use As The Discoun

1.	If You Use Levered Free Cash Flow, What Should You Use As The Discount Rate?
Answer» You would use the Cost of Equity RATHER than WACC since we're not CONCERNED with Debt or Preferred Stock in this case - we're calculating Equity Value, not ENTERPRISE Value. You would use the Cost of Equity rather than WACC since we're not concerned with Debt or Preferred Stock in this case - we're calculating Equity Value, not Enterprise Value.

If You Use Levered Free Cash Flow, What Should You Use As The Discount Rate?

Answer»

You would use the Cost of Equity RATHER than WACC since we're not CONCERNED with Debt or Preferred Stock in this case - we're calculating Equity Value, not ENTERPRISE Value.

You would use the Cost of Equity rather than WACC since we're not concerned with Debt or Preferred Stock in this case - we're calculating Equity Value, not Enterprise Value.

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If You Use Levered Free Cash Flow, What Should You Use As The Discount Rate?

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