As the newly-appointed Chief Financial Officer (CFO) of Anycorp Inc., you've been tasked with valuing a potential merger with a fallen, once-competitive rival, Initech LLC. If the acquisition price of Initech LLC is "sufficiently attractive", then you'll be tasked later on (in this course) with ensuring that all of the necessary, high-level financial requirements for executing this merger are in place. While many methods exist to value companies such as a "comparables/multiples" approaches, "liquidation value" approaches, and "replacement cost" approaches, Initech LLC has about seven years of unaudited financial statements from which Free Cash Flows can be estimated, discounted, and then added to arrive at the company value. Your group's task in this analysis is to come up with the preliminary considerations necessary to understand discounting (read: time value of money) as well as some of the (possibly missing) information you'll need to find the value of Initech LLC.

(1) Question at Hand

(2) Information Given {data, facts, observations, experiences}

(3) Assumptions {explicit or implicit/understood}

(4) Concepts {theories, definitions, laws, models, methods, methodologies}

(5) Calculations Necessary {actual number crunching and end results}

(6) Interpretation {conclusions, solutions}

(7) Implications and Consequences {what is the end result, unintended consequences?}