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5. There is a public firm without paying dividends. Currently you have a position of CFO and need to estimate a price of its stock.

5. There is a public firm without paying dividends. Currently you have a position of CFO and need to estimate a price of its stock. Your firm is expected to generate free cash flows of $200,000 in the 1st year and of $400,000 in the 2nd year. Then free cash flow will grow by 3% annually and forever. If its WACC is 10%, the number of stocks outstanding is 20,000 and an amount of debts and preferred stocks is $100,000, how much is the stock price

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