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Allison's is expected to have annual free cash flow of $62,000, $65,400, and $68,900 for the next three years, respectively. After that, the free cash

Allison's is expected to have annual free cash flow of $62,000, $65,400, and $68,900 for the next three years, respectively. After that, the free cash flow is expected to increase at a constant rate of 2 percent per year. At a discount rate of 14.5 percent, what is the present value of this firm?

Multiple Choice

  • $469,118

  • $577,088

  • $497,364

  • $524,467

  • $603,509

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