In this next set of videos, we want to look at the Kale and Kombucha Spreadsheet and case that you had posted on the website. I want to take you through how one would actually perform a valuation, a discounted cash flow valuation of the case that you had. So let me turn to the Excel file immediately, and go through in detail what we included in there, as this is a very common approach for doing discounted cash flow valuation at any firm. So from the case, you had several pieces of information that are going to be important to then develop all of the firm fundamentals, the projections over several years, and finally the firm valuation. The first sheet on this spreadsheets that you received, includes the main assumptions for valuing this case. Those assumptions are: the tax rate of 21 percent, a discount rate of 15 percent, and that number really was just made up for the purposes of the case. You should return to the video of how to obtain a discount rate, if you want to see how one would come up with a number like that. This 15 percent is used just for the purposes of our discussion. The growth rate after 2023, similarly is an input that we will need when we want to perform the free cash flow calculations, and I will discuss it more when we get there. Now importantly, you have a set of operational assumptions about what is going on in the stores, how much it costs to build them out, and how profitable they are. So the first assumption that we have is that the revenues are $100,000 per store per year. That the cost of goods sold is 20 percent of that revenue. Then we have sales general and administrative expenses of $3,000 per year. We know that it costs us $30,000 per year to rent each one of the stores, the space for the store, and that depreciation is 10 percent, and importantly of existing property plant and equipment. Again, I will return to this point when we do the calculations on the next sheet. Capital expenditures are $200,000 per store, in order to build out each one of our stores and inventories are $50,000. In total for each store again, I will be very precise about the timing of what is happening when we do all of our projections. Finally, in terms of expansion, we know that we have 20 stores as of the end of 2018, and then starting in 2019, we have a pretty aggressive investment plan, where we will be building out five new stores over 2019, 2020, 2021, and 2022. So over four years, we will be building out five new stores in each year, until we reach 40 stores in 2023. Now, with all of these ingredients, what do we want to do next? Is build what we refer to as the proforma, the projections for this company between 2018 and 2023. Then when we turn to the free cash flow calculations, we in fact want to think about how much this company is worth, if we assume that it continues operating even past 2023.