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You are about to mount a takeover bid for a public company. It is projected to generate FCFF to the firm of $123 million at
You are about to mount a takeover bid for a public company. It is projected to generate FCFF to the firm of $123 million at the end of year 1, $58 million at the end of year 2, and $127 million at the end of year 3, after which FCFF is expected to grow at 3% per year forever after. What is the value of the firm if the appropriate discount rate is 11% per year? Select one: O a. $1,446 million O b. $934 million O c. $125 million O d. $1,338 million
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