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Kim is projecting LTG, Inc.'s cash flows using the percentage of sales method. She projects that the sales and the NOPAT for the next 3

"Kim is projecting LTG, Inc.'s cash flows using the percentage of sales method. She projects that the sales and the NOPAT for the next 3 years will be according to the table below and after that both the sales and the NOPAT will grow at 4% per year forever. Year 0 represents the firm's most recent year. The firm's Net PPE is expected to be at 20% of the same year's sales. The operating NWC is projected at 6% of the same year's sales. What is the value of the firm if the cost of capital is 10%?"

Year 0 1 2 3
Sales 1397 1206 1424 1125
NOPAT 219 226 313 249
3,622
4,963
4,135
3,286
3,804

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