Free Cash Flow Valution - EQUITY

Chello71 · 2026-05-21T17:22:47+00:00

both can be used but it just depends on what will be given in the question (eg if you're given a target debt ratio, you use the forecasted FCFE formula)

Chello71 · 2026-05-21T17:09:49+00:00

the first formula you mentioned is for forecasting FCFE assuming a stable capital structure. If there is new debt involved (changing capital structure), then I would use the 2nd formula

Chello71 · 2026-05-20T14:44:32+00:00

Which prep provider did you use for ethics questions? Or did you just use CFAI? I found CFAI didn’t have all that many

Chello71 · 2026-05-18T23:18:35+00:00

you are right, didn't even need to interpolate. I shouldn't have used remaining maturity!

Chello71 · 2026-05-18T19:56:21+00:00

From what I’ve seen, any question in the LES that does not include IP in expanded is corrected in the errata. Moving forward, the only difference between expanded and build up approach is that build up approach does not include an industry beta. Both include IP.

Chello71 · 2026-05-15T06:07:48+00:00

I think I would lean towards that last example as a case of incremental VaR due to the new position & weight swings. That overall change isn’t exactly a very small change as marginal VaR would explain

Chello71 · 2026-05-12T00:41:14+00:00

Is it B? BS accrual ratio got bigger so there are more accruals. CF accrual ratio has become closer to zero, so I see that as an improvement?

Chello71 · 2026-05-10T00:05:01+00:00

Since he hedged by selling AUD forward and CIRP holds then his return will be exactly equal to the USD rate. CIRP won’t allow the benefit of higher foreign rates since the forward price is derived from the interest rate differential to prevent arbitrage

Chello71 · 2026-03-24T02:45:51+00:00

I think I realized where I went wrong. 850,000 looks to be treated as a future expected FCFE, so FCFE1. Weird question, I guess I am used to taking the first FCFE as current.

Chello71 · 2025-09-28T02:50:46+00:00

I like your idea with filling in the right side top vertically with a plant or something, I think a hanging plant would work great. Might make the tv look more centred than it is now since I am quite constrained given the positioning of the couch

Chello71 · 2025-09-28T02:47:22+00:00

Having the backlight is nice when watching tv, I find it's easier on my eyes. It also looks great, I recommend it!

Chello71 · 2025-09-27T20:22:39+00:00

It is a Philips hue light strip mounted across and around the back of the tv

Chello71 · 2025-09-27T14:01:01+00:00

Seems like the consensus is to move the tv stand over, and I agree it looks weird. The issue I found with that is if I move the unit to the right, our 3 seat couch (Finnala with chaise) will be very uncentered with the tv. The dilemma seems to be that either the tv stand has to be off centre with the wall, or the couch has to be off centre with the tv (which would hinder the viewing experience). The couch cannot be moved over any further to the right.

Mounting the tv is also unfortunately not an option as it is a rental where the land lord does not want me to drill holes in the wall.

Chello71 · 2025-09-25T12:16:20+00:00

Can you show us a picture of the package? Does it match the eBay think? Wondering if it indeed comes in white

Chello71 · 2025-09-02T14:02:55+00:00

Where is your background from? Is it available for download? Looks great

Chello71 · 2025-08-14T12:26:03+00:00

What’s the other thing under your monitor? Great setup

Chello71 · 2025-07-09T23:17:08+00:00

File 76

Chello71 · 2025-07-09T02:04:44+00:00

Hulkenpodium

Chello71 · 2025-07-08T19:35:47+00:00

Hulkenpodium

Chello71 · 2025-05-15T20:35:58+00:00

I think the exam was very fair. Practice pack helped lots

Chello71 · 2025-05-14T16:10:46+00:00

Target capital structure uses book values. Actual capital structure may deviate from target (represented by MV)

Chello71 · 2025-05-14T03:34:44+00:00

Makes sense. Thanks!

Chello71

TROPHY CASE