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my work mode : This shows what is correct or incorrect for the work you have completed so far. It does not indicate completion. Return to question The following table shows the projected free cash flows of an acquisition target. The potential acquirer wants to estimate its maximum acquisition price at an 8 percent discount rate and a terminal value in year 5 based on the perpetual growth equation with a 4 percent perpetual growth rate. 3 Year Free cash flow 2 -960-480 4 296 5 892 a Estimate the target's maximum acquisition price. (Do not round intermediate calculations. Round your answer to the nearest whole dollar amount.) Answer is complete but not entirely correct. Maximum acquisition price S 23 192 1 of 2 Next >

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