3. Lycan , Inc . anticipates that it will earn a firm free cash flow of $ 2, 100, 0.00 a year in 2019 . The amount of free cash flows Lycan can generate Since then will grow at 5%6 per year until 202 2 . The owner of the firm will retire in 202 2 and sell the company . The comparable BITDA multiple for this type of company is 15 x. Assume Lycan's EBITDA for 2022 will be $ 2, 000, 000 . What is the current value of this firm if it's WACC IS 1290 ? Planning Period Terminal Value Year 2018 2015 2020 }21 2022 2023 Amount O 5 2, 100, 000.00 | 5\ 2, 205, 000. 00 5 2, 315, 250.00 | 5 2, 431, 012.50 | 5 2, 5.52, 503. 13) 5. 21, 271, 359. 38 5 2, 100, 00.0. 00 / 5) 2 , 205 ,000.00 / 5) 2, 315 , 250.00 | 5 23, 702, 371. 88 Value =\ 5.20, 3:44, 047.5.5 Planning Period Terminal Value Year 2018 2019 2020 2021 2022 2023 Amount O 5 2, 100, 000.00 / 5) 2, 205, 000. 00 | 5 2, 3:15, 250.00| 5 2,000, 000.00 | 5 2, 100,00.0. 0.0 $. 31, 248, 00.0. 00 5 2, 100 , 000. 00 / 5) 2 , 205 ,000.00 / 5) 2, 315, 250.00 | $ 33, 248, 0.00. 00 Value =\ 5.25, 410, 465. 75 GIVEN F CF Year 1 / 20191 5. 2 , 100, 000 . 00 Growth Rate 965 WALL 12% BITDA Multiple 15 Firm Value = 3. 25, 410, 450. 75