Given the following data:
FCF1 = $7 million; FCF2 = $45 million; FCF3 = $55 million; free cash flow grows at a rate of
4% for year 4 and beyond. If the weighted average cost of capital is 10%, calculate the value
Of the firm.
A) $953.33 million
B) $801.12 million
C) $716.25 million
D) None of the above

Question

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The Answer of Given the following data:
FCF1 = $7 million; FCF2 = $45 million; FCF3 = $55 million; free cash flow grows at a rate of
4% for year 4 and beyond. If the weighted average cost of capital is 10%, calculate the value
Of the firm.
A) $953.33 million
B) $801.12 million
C) $716.25 million
D) None of the above

Given the Following Data