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You are valuing a company at year end 2 0 2 3 , using the Free Cash Flow to the Firm ( FCF ) model,

You are valuing a company at year end 2023, using the Free Cash Flow to the Firm (FCF) model, that has a target capital structure of 70% equity and 30% debt. The estimated cost of equity is 11.0% and cost of debt (excluding tax effect) is 4.0%, respectively. The estimated stream of free cash flow to the firm (FCF) is:
\table[[Values is f,2023,2024,2025,2026,2027],[FCF,6000,6500,7000,8100,8900]]
The expected nominal growth rate of FCF in perpetuity is 2.10%. The corporate tax rate is 20%. The estimated enterprise value is:
a.123973
b.132010
C.133240
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