Question
Your firm can generate 300 in EBIT per year forever. You are twice as risky as the average firm. The market is expected to earn
Your firm can generate 300 in EBIT per year forever. You are twice as risky as the average firm. The market is expected to earn 12% and the risk free rate is 2%. Find the value of the firm and the WACC if there are no taxes and you use no debt.
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Statistics Informed Decisions Using Data
Authors: Michael Sullivan III
5th Edition
978-0134135373, 134133536, 134135377, 978-0134133539
