Question
Suppose Boyson Corporation's projected free cash flow for next year is FCF 1 = $250,000, and FCF is expected to grow at a constant rate
Suppose Boyson Corporation's projected free cash flow for next year is FCF 1 = $250,000, and FCF is expected to grow at a constant rate of 6.5%.Assume the firm has zero non-operating assets.If the company's weighted average cost of capital is 11.5%, then what is the firm's total corporate value?
- $3,850,000
- $4,000,000
- $5,000,000
- $5,050,000
- $4,200,000
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Personal Finance Building Your Future
Authors: Robert B. Walker, Kristy P. Walker
1st edition
9780077861728, 978-0073530659
