Calculate the implied perpetual growth rate for the below company.

Assume cash flows fall at the end of the year.

Terminal value EBITDA multiple:	5.0
WACC	6.5%
Year	Current	1	2	3
EBITDA		221.6	232.6	237.3
Free cash flow		57.6	62.0	48.7

Select one:

2.30%

2.00%

6.24%

(2.30%)