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1 . The free cash flow to equity of Firm C is $ 5 0 , 0 0 0 now. The growth rate of FCFE

1 .

The free cash flow to equity of Firm C is $

50, 000

now. The growth rate of FCFE is

5 % .

The WACC is

9 % .

The required rate of equity is

12 % .

The market value of debt is $

100, 000 .

The share outstanding is

100, 000 .

What is the stock price?

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