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A firm's expected free cash flow in 2013 (FCF 1 ) was $180 million, and expect its free cash flow has a constant growth rate
A firm's expected free cash flow in 2013 (FCF1) was $180 million, and expect its free cash flow has a constant growth rate at 5%. If the weight average cost of capital (WACC) for the firm is 10%.
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Step: 1
To estimate the value of the firms operating assets we can use the Gordo...
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