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Majong Inc. forecasts that it will have the free cash flows shown below. The free cash flows are expected to grow by 2% per year
Majong Inc. forecasts that it will have the free cash flows shown below. The free cash flows are expected to grow by 2% per year after year 3 . The weighted average cost of capital is 13%. The firm has $45 million of debt and 10 million shares outstanding. Part 1 Attempt 2/10 for 10 pts. What is Majong's terminal value (in \$ million)? Part 2 Attempt 1/10 for 10 pts. What is the firm value today (in $ million)? What is a good estimate of Majong's value per share
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