22. Growth opportunities (S4.5) Look again at the financial forecasts for Growth-Tech given in Table 4.5. This

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22. Growth opportunities (S4.5) Look again at the financial forecasts for Growth-Tech given in Table 4.5. This time assume you know that the opportunity cost of capital is r = 0.12 (discard the 0.099 figure calculated in the text). Assume you do not know Growth-Tech’s stock value.

Otherwise follow the assumptions given in the text.

a. Calculate the value of Growth-Tech stock.

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Principles Of Corporate Finance

ISBN: 9781264080946

14th Edition

Authors: Richard Brealey, Stewart Myers, Franklin Allen, Alex Edmans

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