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year 1 FCF 1 0 2. 0 3 0 4 4.2 5 4.6 6 5.0 7 10.9 8 and so on The horizon for this

year 1 FCF

1 0

2. 0

3 0

4 4.2

5 4.6

6 5.0

7 10.9

8 and so on

The horizon for this firm is year 6, and long tern growth after year 6 is estimated to be 6%. The firm's cost of capital is 10%. Compute the intrinsic value

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