Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Current and projected free cash flows for Radell Global Operations are shown below. Actual Projected 2019 2020 2021 2022 Free cash flow $602.160 $662.840 $702.887
Current and projected free cash flows for Radell Global Operations are shown below.
Actual | Projected | |||
2019 | 2020 | 2021 | 2022 | |
Free cash flow | $602.160 | $662.840 | $702.887 | $751.980 |
(millions of dollars) |
Growth is expected to be constant after 2021, and the weighted average cost of capital is 11.3%. What is the horizon (continuing) value at 2022 if growth from 2021 remains constant? Do not round intermediate calculations. Enter your answer in millions. For example, an answer of $1 million should be entered as 1, not 1,000,000. Round your answer to the nearest whole number.
$ million
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started