Danielsen's has 15,000 shares of stock outstanding and projected annual free cash flows of $48,200, $57,900,...

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Danielsen's has 15,000 shares of stock outstanding and projectedannual free cash flows of $48,200, $57,900, $71,300, and $72,500for the next four years, respectively. After that, the cash flowsare expected to increase at a constant annual rate of 1.6 percent.What is the current value per share of stock at a discount rate of15.4 percent?

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Terminal Value TV Terminal Value TV CF51 g Ke g 725001 00160 01540 00160 73660 01380 533768 Present Value of future cash inflows and the terminal    See Answer
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Danielsen's has 15,000 shares of stock outstanding and projectedannual free cash flows of $48,200, $57,900, $71,300, and $72,500for the next four years, respectively. After that, the cash flowsare expected to increase at a constant annual rate of 1.6 percent.What is the current value per share of stock at a discount rate of15.4 percent?

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