well, i figure some people have value > 5M here.simply estimate their assets 10 years (20 years) later and divided by the inflation rate in 10 (20) years. Ye, that's the present value.
haha, just kidding.
Good Point! I think DCF model is more appropriate here. But USD5m is abit hard
Based on my model, if one super high flyer reaches Tier One I-Bank VP in 5 years and subsequetly get promoted to Director in another 5 years and retires in the next 10 years, given a long-term discount rate of 4%, his NPV today is still less than USD4m.
Moral of the Story: Have to generate positive cashflow from investing activities to make up the inadequate cashflow generated from "operations". Haha.
Moral of the Story: Have to generate positive cashflow from investing activities to make up the inadequate cashflow generated from "operations". Haha.
Huasing Association 1999 - 2013