Question
A retail coffee company is planning to open 100 new coffee outlets that are expected to generate $15.0 million in free cash flows per year,
A retail coffee company is planning to open 100 new coffee outlets that are expected to generate $15.0 million in free cash flows per year, with a growth rate of 3.0% in perpetuity. If the coffee company's WACC is 10.0%, what is the NPV of this expansion?
The present value of the free cash flows is $____ million.(Round to two decimal places.)
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Introduction To Derivatives And Risk Management
Authors: Robert Brooks, Don M Chance, Roberts Brooks
8th Edition
0324601212, 9780324601213
