Develop A Pro Forma Modified Cash Flow Analysis For American Greetings For Fiscal Ye 2920002

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Case Study Questions:
1. Define and discuss the following business valuation processes:
a. Basic Framework
b. Book Value Approach
c. Market Value of Traded Securities Approach
d. Market Multiple Approach
e. Discounted Cash Flow Approach
2. Expand upon the Discounted Cash Flow Approach:
a. Define and discuss how to develop the Free Cash Flow forecast
b. Define and discuss how to develop the Terminal Value
c. Define and discuss how to develop the Discount Rate
3. Discuss how valuation methods must be adjusted for early stage companies.
4. Discuss how valuation methods must be adjusted for late stage companies.
5. At the end of 2011 American Greetings was trading at an EBITDA multiple of 3.5.
a. Do you think a 3.5-times multiple is appropriate for American Greetings?
b. What is the implied share price that corresponds to a 3.5-times EBITDA multiple?
6. Develop a pro forma modified cash flow analysis for American Greetings for fiscal years 2012 through 2015 based on the two sets of ratios in case Exhibit 8.
7. Based on the discounted cash flows associated with the fiscal years 2012 through 2015forecast developed for Question 6; what is:
a. The implied enterprise value of American Greetings
b. The corresponding share price?
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MBA 7294 Week 6 Case Study – American Greetings You will write a detailed case analysis report on the Case Study, American Greetings found in your course pack. The case analysis report should include three parts: 1. Cover Page (APA Format) 2. Executive summary: one page, double space (APA Format) 3. Case analysis: 5-6 pages of analysis (APA Format) with tables, figures and notes attached as appendices 4-What possible solutions can you suggest in your case study analysis? Please discuss the following in your case study analysis: Case Study Questions: 1. Define and discuss the following business valuation processes: a. Basic Framework b. Book Value Approach c. Market Value of Traded Securities Approach d. Market Multiple Approach e. Discounted Cash Flow Approach 2. Expand upon the Discounted Cash Flow Approach: a. Define and discuss how to develop the Free Cash Flow forecast b. Define and discuss how to develop the Terminal Value c. Define and discuss how to develop the Discount Rate 3. Discuss how valuation methods must be adjusted for early stage companies. 4. Discuss how valuation methods must be adjusted for late stage companies. 5. At the end of 2011 American Greetings was trading at an EBITDA multiple of 3.5. a. Do you think a 3.5-times multiple is appropriate for American Greetings? b. What is the implied share price that corresponds to a 3.5-times EBITDA multiple? 6. Develop a pro forma modified cash flow analysis for American Greetings for fiscal years 2012 through 2015 based on the two sets of ratios in case Exhibit 8. 7. Based on the discounted cash flows associated with the fiscal years 2012 through 2015forecast developed for Question 6; what is: a. The implied enterprise value of American Greetings b. The corresponding share price?

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American-Gree….docxREADING-MATER….pdfAmerican-Gree….xlsx