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Motor Homes Inc. (MHI) is presently enjoying abnormally high growth because of a surge in the demand for motor homes. The company expects free cash

Motor Homes Inc. (MHI) is presently enjoying abnormally high growth because of a surge in the demand for motor homes. The company expects free cash flow to grow at a rate of 20% for the next 4 years, after which there will be no growth (g = 0) in FCFF. The companys last FCFF, FCFF0, was $1.50. The firm is consisted of 100% equity and has no debt. MHIs beta is 1.5, the market risk premium is 6%, and the risk-free rate is 4%. Given theres no debt, what is the current equity value of the firm using DCF model?

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