VSK enterprises would like to acquire SPK Corp and is trying to determine the terminal value at year 2024 using the DCF approach. VSK decided to use the cost of equity as the discount rate due to the higher level of risk. Calculate the price that would be paid based on DCF valuation. Assume a discount rate of 12% 2020= 10m 2021 - 13 m 2022= 15m 2023 14m 2024 17 m After 2024, the cash flows of SPK is expected to grow at a constant growth rate of 5%? A) 150m B) 157.5 C) 145.5 m D)193.2 m E) 42 m

VSK enterprises would like to acquire SPK Corp and is trying to determine the terminal value at year 2024 using the DCF approach. VSK decided to use the cost of equity as the discount rate due to the higher level of risk. Calculate the price that would be paid based on DCF valuation. Assume a discount rate of 12% 2020=10m2021=13m2022=15m2023=14m2024=17m After 2024, the cash flows of SPK is expected to grow at a constant growth rate of 5% ? A) 150m B) 157.5 C) 145.5m D) 193.2m E) 42m