Question
Current and projected free cash flow for Radell Global Operations are shown below. Growth is expected to be constant after 2015, and the weighted average
Current and projected free cash flow for Radell Global Operations are shown below. Growth is expected to be constant after 2015, and the weighted average cost of capital is 11%. What is the horizon (continuing) value at 2016 if growth from 2015 remains constant?
| Actual 2013 | 2014 | Projected 2015 | 2016 |
| $606.82 | $667.50 | $707.55 | $750.00 |
The correct answer is Vop at 2015= 15,000 million of $, but i dont get that result. Can you please show the process??? Thanks
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A Course In Derivative Securities
Authors: Kerry Back
2005th Edition
3540253734, 978-3540253730
