25. (CH18) An analyst correctly computes a company's current FCFF is $800 and FCFE is $880. The analyst expects both FCFF and FCFE will grow at the same rate per year, but at a greater rate in early years. After the third year (T 3), FCFF and FCFE will grow at the same long-term industry growth rate. The analyst forecasts the cash flows (so you don't have to) in the table below and calculates the appropriate discount factors. Note the discount factor are there to help speed up discounting the future cash flows where: DFT 1/(1+r) Timeline 1 2 3 5 6 Year 2019 2020 2021 2022 2023 2024 2025 960.0 1104.0 1214.41275.1 1338.91405.8 Discount Factor for FCFF 1.0000 0.9174 0.8417 0.7722 0.7084 0.6499 0.5963 880.01056.0 1214.41335.81402.6 1472.81546.4 Discount Factor for FCFE 1.0000 0.8696 0.75610.6575 0.5718 0.4972 0.4323 FCFF 800.0 . ... FCFE the equity Using a FCF model for non-constant growth, compute the value of the firm and the value today. Currently, the company's debt percentage of total assets is closest to a) 44% b) 47% c) 50% d) 53% e) 56%