Design debt (by looking at sensitivity to macro variables)

We are trying to estimate how the cash flows of a firm, and its value change as a function of the changes in macroeconomic variables. This will help us in the design of debt.

Inputs needed: You will need to input operating income, market value of equity and total debt

outstanding each year for the periods, starting with the latest one. If your firm has been listed

for 3 years or less, skip this spreadsheet.

Note: this model is being shared with the authorization of Professor Aswath Damodaran from NYU Stern Business School (www.damodaran.com)