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Suppose that Rose Industries is considering the acquisition of another firm in its industry for $ 7 4 million. The acquisition is expected to increase
Suppose that Rose Industries is considering the acquisition of another firm in its industry for $ million. The acquisition is expected to increase Rose's free cash flow by $ million the first year, and this contribution is expected to grow at a rate of every year thereafter. Rose currently maintains a debt to equity ratio of its corporate tax rate is its cost of debt rD is and its cost of equity rE is Rose Industries will maintain a constant debtequity ratio for the acquisition.
The Free Cash Flow to Equity FCFE for the acquisition in year is closest to $ Million decimal places:
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