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Question) An analyst expects the free cash flow to the firm to equal to $50 million next year. If free cash flows are expected to
Question) An analyst expects the free cash flow to the firm to equal to $50 million next year. If free cash flows are expected to grow at 3% forever, what is the total value of the firm given a cost of capital (or WACC) of 9.5%?
A) $679.81 million B) $715.54 million C) $769.23 million D) $803.03 million
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