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The MoMI Corporations income betore interest depreciation and taxes was S2.2 million in the year ust ended, and rt expects that this will grow by

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The MoMI Corporations income betore interest depreciation and taxes was S2.2 million in the year ust ended, and rt expects that this will grow by 5% per year forever. To make this happen, the tim w?have to invest an amount equal to 16% of pretax cash flow each year The tax rate is 30%. Depreciation was $280 0001n the year ust ended and is expected to grow at the same rate as the operating cash flow. The approprate market capitalization rate for the unleveraged cash flow#5 109 per year, and the firm currently has debt of $6 million outstanding Use the free cash flow approach to calculate the value of the firm and the firm's equity Enter your answer in dollars not in millions Value of the firm Value of the firm's equity

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