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Questions 15 - 17 use the data below. Aldo's Hair Products has the following expected free cash flows. Year 1 = $58,000, year 2 =
Questions 15 - 17 use the data below. Aldo's Hair Products has the following expected free cash flows. Year 1 = $58,000, year 2 = $72,500, year 3 = $60,000. After that, he expects to grow at a rate of 5% per year. His WACC (or required return) is 14%, has $500,000 in debt and 20,000 shares outstanding. what is the total company value? Show all work!
- A. $760,235
- B. $1,319,314
- C. $890,500
- D. $619,641
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