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The terminal value of a business that grows indefinitely is calculated as follows: 1 Cash flow from period t+1 divided by (discount rate growth rate)
The terminal value of a business that grows indefinitely is calculated as follows:
1 Cash flow from period t+1 divided by (discount rate growth rate)
2 Cash flow from period t+1 divided by (1 + discount rate)
3 Cash flow from period t divided by (discount rate growth rate)
4 None of the above
choose 1 of the 4 above
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