Misra Inc. forecasts a free cash flow of $ 35 million in Year 3, ie, at t = 3, and it expects FCF to grow at a constant rate of

Question

3 years ago

9

Misra Inc. forecasts a free cash flow of $ 35 million in Year 3, ie, at t = 3, and it expects FCF to grow at a constant rate of

5.5% thereafter. If the weighted average cost of capital (WACC) is 10.0% and the cost of equity is 15.0%, what is the horizon, or terminal, value in millions at t = 3?

Business

1 answer:

Ray Of Light [21] · Answer 1 · 2022-08-08T22:39:55+03:00

Ray Of Light [21]3 years ago

8 0

Answer:

the answer for this question is 1289.44