Assume the following free cash flows for Year 1 and forecasted FCFF for Year 2 onward (in millions): ($millions) Free cash flows to the firm (FCFF) O 134,617 O 141,529 O 100,828 Current Forecast Horizon The DCF value of the firm using the FCFF information above, a discount rate of 6%, and an expected terminal growth rate of 2%, is: O 150,020 Year 1 Year 2 Yar 3 Year 4 Year 5 W Terminal Year $4,973 $5,222 $5,482 $5,757 $6,045 $6,166

Assume the following free cash flows for Year 1 and forecasted FCFF for Year 2 onward (in millions): The DCF value of the firm using the FCFF information above, a discount rate of 6%, and an expected terminal growth rate of 2%, is: 134,617 141529 100,828 150.020