Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

i need the answer for Question 7. i will leave a thumbs up. Exelon Inc. forecasts growth of 12% for the next six years and

i need the answer for Question 7. i will leave a thumbs up. image text in transcribed
Exelon Inc. forecasts growth of 12% for the next six years and 6% thereafter. Exelon's free cash flow last year was $16 million, what is its horizon value if the company's cost of capital is 21% ? Following the textbook assumption, we have the horizon time defined as the year prior to settling down to the long run trend. Thus the horizon time is year 5. $526.35 million. $129.84 million. $210.54 million. $150.39 million. Question 7 (3.33 points) Continued from the above, what is the value of Exelon Inc.? $149.97 million. $145.00 million. $130.91 million. $133.05 million

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Essentials Of Managerial Finance

Authors: Scott Besley, Eugene F. Brigham

12th Edition

0030258723, 9780030258725

More Books

Students also viewed these Finance questions