Aswath Damodaran 240
Disney Theme Park: Thai Baht NPV
NPV = 31 , 542 Bt/ 42. 09 Bt = $ 749 Million
NPV is equal to NPV in dollar terms
Year Cashflow ($) Bt/$ Cashflow (Bt) Present Value
0 - 2000 42. 09 - 84180 - 84180
1 - 1000 45. 39 - 45391 - 38034
2 - 880 48. 95 - 43075 - 30243
3 - 289 52. 79 - 15262 - 8979
4 324 56. 93 18420 9080
5 443 61. 40 27172 11223
6 486 66. 21 32187 11140
7 517 71. 40 36920 10707
8 571 77. 01 43979 10687
9 631 83. 04 52412 10671
10 8474 89. 56 758886 129470
31542
The NPV is identical because what we lose by using a higher discount rate is
exactly offset by what we gain in growth in the cash flows.
