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Year 1 2 3 4 Free cash flow $12 million $18 million $22 million $26 million Australia Mining (AM) is expected to generate the above

Year 1 2 3 4

Free cash flow $12 million $18 million $22 million $26 million

Australia Mining (AM) is expected to generate the above free cash flows over the next four years, after which they are expected to grow at a rate of 5% per year. If the weighted average cost of capital is 12%, what is AM's current value?

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