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Compute the value of a firm with free cash flows of $4000, $5000, and $6000 over the next three years; a terminal value of $70,000
Compute the value of a firm with free cash flows of $4000, $5000, and $6000 over the next three years; a terminal value of $70,000 after three years; and an unlevered cost of capital of 10%. Assume that the interest rate tax shield is zero.
a. $17,058
b. $17,536
c. $58,107
d. $60,087
e. $64,869
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