Our acquisition target is a privately held company in a mature industry. The company currently...
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Our acquisition target is a privately held company in a mature industry. The company currently has free cash flow of $12 million. Its WACC is 11% and it is expected to grow at a constant rate of 3%. The company has marketable securities of $70 million. It is financed with $100 million of debt, $20 million of preferred stock, and $100 million of book equity. Find the value of the firm (in million). Group of answer choices 100 224.5 154.5 245.2
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