Franklin Industries has a current net working capital of $2.5 million.It expects that this will grow at a rate of 3.5% annually forever.If it could slow that growth to 3% per year,how would that affect the the value of the firm,given that it has a cost of capital of 11%?
A) a decrease of $2.22 million
B) an increase of $12,500
C) an increase of $0.78 million
D) an increase of $2.08 million
Correct Answer:
Verified
Q1: Genovese Fine Foods, a manufacturer of foodstuffs,
Q4: Use the table for the question(s)below.
Luther Industries
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A)39
Luther Industries
A)A
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