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A firm has a pre-tax cost of debt of 6%, a debt to capital ratio of 25%, total debt of $2,500, 25% tax rate, perpetuity

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A firm has a pre-tax cost of debt of 6%, a debt to capital ratio of 25%, total debt of $2,500, 25% tax rate, perpetuity growth of 5%, exit multiple of 7xYr3EBITDA, beta = 1.1, risk-free rate=4%, market risk premium - 6%, and the following cash flows: Year 1 2 3 EBITDA 1800 2200 2600 Free cash flow 500 625 840 Using the year 3 exit multiple of 7 times EBITDA, determine the total enterprise value of this firm today. O $14,784 O $15,656 O $14,025 O $15.150

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