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Marked out of 10.00 Flag question You have been asked to value Revox Inc., a cement company. The company reported 55 million in after tax

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Marked out of 10.00 Flag question You have been asked to value Revox Inc., a cement company. The company reported 55 million in after tax operating income one $ 100 million in the most recent year. It expects revenues to grow 20% next year as the economy comes out of the recession and the tax operating margin to improve to 10%. The firm expects capital expenditures of $ 10 million and depreciation of S4 million e r there are no working capital requirements. After next year, the expected growth in operating income is 4% forever and the form expects to maintain a return on invested capital of 12% in perpetuity. If the cost of capital is 10%, estimate the value of Revox Inc. today Select one: a. $140.23 b. $110.21 c. $131.52 d. $140.23 You have been asked to value Revox Inc., a cement company. The company reported $ 5 million in after-tax operating income on revenues of 5 100 million in the most recent year. It expects revenues to grow 20% next year as the economy comes out of the recession and theater tax operating margin to improve to 10%. The firm expects capital expenditures of $ 10 million and depreciation of S4 million next year there are no working capital requirements. After next year, the expected growth in operating income is 1% forever and the Armexpects to maintain a return on invested capital of 12% in perpetuity. If the cost of capital is 10%, estimate the value of Revox Inc. today Select one: O a. $140.23 b. $110.21 c. $131.52 d. $140.23

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