Estimate a current stock price for Montana Corporation using the following information.Projected free cash flows for the next three years are shown in the table below.Assume the growth rate in years 1 through 3 continues into the future.Calculate terminal value as a growing perpetuity.Montana's WACC is 18%,the market value of its debt is $5 million,and it has 1.2 million shares of stock outstanding.
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PV of cash flows,years 1 to 3 = 1,000,0...View Answer
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