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The market values of BNT' debt and equlity are $250m and &400m respectively (t=0). The company has $28m cash and the company is expexted to
The market values of BNT' debt and equlity are $250m and &400m respectively (t=0).
The company has $28m cash and the company is expexted to generate $36m free cash flow in this financial year (t=1). Assume, the WACC of the company is 10%. What is the sustainable growth rate of BNT as implied by the Gordon Growth Model?
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School Finance A Policy Perspective
Authors: Allan Odden, Lawrence Picus
6th Edition
1259922316, 9781259922312
