Question
estion 7 ABC Corporation's free cash ow to equity (FCFE) this year (t = 0) is $18.7 million, and it is expected to stay the
estion 7 ABC Corporation's free cash ow to equity (FCFE) this year (t = 0) is $18.7 million, and it is expected to stay the same forever. Its cost of equity and weighted cost of capital are 9.2% and 7.2%, respectively. It has 41.0 million debt. What is the equity value of ABC in million?
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Intermediate Financial Management
Authors: Eugene F Brigham, Phillip R Daves
9th Edition
032431986X, 9780324319866
