Your question is Explain DCF Mechanics. Take a moment with it on the right.
Talk me through your thinking if you like. When you're confident, submit your answer and I'll grade it like a real screen (7/10 or better passes).
Walk me through the mechanics of a DCF and how you determine the terminal value.
Explain how you forecast unlevered free cash flow, calculate WACC, discount explicit-period cash flows, and bridge enterprise value to equity value. Cover both the Gordon growth and exit multiple approaches to terminal value, including the assumptions, checks, and sensitivity analysis you would present in equity research.
