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Firm A is in a matured industry, had a positive free cash flow in the year that just ended and has a long-term growth rate
Firm A is in a matured industry, had a positive free cash flow in the year that just ended and has a long-term growth rate in free cash flow of 3%. What model would you use to estimate the value of firm A?
Constant growth free cash flow model
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Constant growth dividend discount model
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Two-stage free cash flow model
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Two-stage dividend discount model |
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