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A firms free cash flow is estimated to be $10 next year. This cash flow is expected to grow at a rate of 2% forever.
A firms free cash flow is estimated to be $10 next year. This cash flow is expected to grow at a rate of 2% forever. The firms WACC is 10% and net debt is $50. What is the value of the firm?
Group of answer choices
$75
$95
None of these.
$100
$125
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