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You have been tasked with using the FCF model to value Amara's Jewelry Company. After your initial review, you find that Amara's has a reported
You have been tasked with using the FCF model to value Amara's Jewelry Company. After your initial review, you find that Amara's has a reported equity beta of a debttoequity ratio of and a tax rate of percent. In addition, market conditions suggest a risk free rate of percent and a market risk premium of percent. If Amara's had FCF last year of $ million and has current debt outstanding of $ million, find the value of Amara's equity assuming a percent growth rate in FCF Note: Do not round intermediate calculations. Enter your answer in millions rounded to decimal places. Answer is not complete. Value of the equity
You have been tasked with using the FCF model to value Amara's Jewelry Company. After your initial review, you find that Amara's has
a reported equity beta of a debttoequity ratio of and a tax rate of percent. In addition, market conditions suggest a risk
free rate of percent and a market risk premium of percent. If Amara's had FCF last year of $ million and has current debt
outstanding of $ million, find the value of Amara's equity assuming a percent growth rate in FCF
Note: Do not round intermediate calculations. Enter your answer in millions rounded to decimal places.
Answer is not complete.
Value of the equity
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