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14. Seminole Corp's free cash flow to the firm is reported as $405 million. The firm's interest expense is $42 million. Assume the tax rate

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14. Seminole Corp's free cash flow to the firm is reported as $405 million. The firm's interest expense is $42 million. Assume the tax rate is 35% and the net debt of the firm increases by $6 million, what is the market value of equity if the FCFE is projected to grow at 3% indefinitely and the cost of equity is 12%? Please note the formula to calculate intrinsic value and show how your calculations. (L013-4)

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