A firm has completed their 5-year horizon forecast. Their weighted average cost of capital is...

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Accounting

A firm has completed their 5-year horizon forecast. Their weighted average cost of capital is 12%. Beyond the end of the horizon period they conservatively estimate that growth will continue at 3%. Calculate total enterprise value. Free Cash Flow for each year: YEAR 1: $8,000 YEAR 2: $8,500 YEAR 3: $9,000 YEAR 4: $9,500 YEAR 5: $10,000

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