Question
A company forecasts its free cash flows (in millions) as shown below. If the companys weighted average cost of capital is 15% and the free
A company forecasts its free cash flows (in millions) as shown below. If the companys weighted average cost of capital is 15% and the free cash flows are expected to grow at a rate of 5% after Year 2, what is the companys total corporate value, in millions?
| Year | 1 | 2 |
| Free cash flow | -$50 | $100 |
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Small Brewery Finance
Authors: Maria Pearman
1st Edition
1938469526, 978-1938469527
