Mooradian Corporation's free cash flow during the just-ended year (t = 0) was $250 million,and its FCF is expected to grow at a constant rate of 5.0% in the future.Assume the firm has zero non-operating assets.If the weighted average cost of capital is 12.5%,what is the firm's total corporate value,in millions?
A) $3,500
B) $2,695
C) $3,255
D) $4,130
E) $3,850
Correct Answer:
Verified
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