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Hi There I would to check my answer to this problem Free Cash Flow (FCF) is 2018 - 62 2019 - 73.6 2020 - 83.80

Hi There

I would to check my answer to this problem

Free Cash Flow (FCF) is

2018 - 62

2019 - 73.6

2020 - 83.80

If the WACC is 10% and the perpetual growth rate is 3% what is the Terminal value?

TV3 = FCF4 / WACC - g

= 86.31/10%-3%

= 86.31/0.07

= 1,233

Thanks

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