Electronix Inc. manufactures electronic products. The company’s weighted average cost of capital is 8 percent. The company forecasted the following free cash flows for the next 20 years:

Electronix Inc. manufactures electronic products. The company’s weighted average cost of capital is 8 percent. The company forecasted the following free cash flows for the next 20 years:
Year Free Cash Flows
1 $15,000,000
2 $16,200,000
3 $21,000,000
4 $23,000,000
5 $27,000,000
6-10 $25,000,000 per year
11-20 $21,000,000 per year
Prepare a valuation report for Electronix Inc. using the discounted cash flow approach.
Identify the accounts taken into consideration in the discounted cash flow method.
Compare the difference between future income method and the discounted future cash flow method.
Your well-written paper must be 3-4 pages, in addition to title and reference pages. Your paper should be 4-6 pages in length with document and citation formatting per CSU Global Writing Center (Links to an external site.) guidelines. Cite at least two-peer-reviewed sources, in addition to the required reading for the module.

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