Based on the following data, what is the horizon value at the end of year 5?

Year 1

Revenue 630.00

Other income 20.00

Fixed costs 90.00

Variable costs 220.00

Additional investment in NWC 3.00

Additional investment in operating long- term assets 80.00

Depreciation 75.00

Tax rate 0.40

The free cash flow is expected to grow at 8% from year 1 to year 5 and 6% after year 5 to infinity. WACCcomp = 12%.

Select one:

a. $3,532.76

b. $3,629.33

c. $3,766.90

d. $3, 394.77

e. $3,414.04