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We also know that the corporate tax rate is 40%, the face value of long term debt is 7, the coupon rate of this debt
We also know that the corporate tax rate is 40%, the face value of long term debt is 7, the coupon rate of this debt is 9%, the required return on debt is 8.7%, the growth rate of FCF in the long term is 4%, and the WACC is constant equal to 15%. Determine the Free Cash Flows; the value of the firm, the market value of debt and the market value of equity
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