Assume that after applying the free cash flow valuation model to the data for a given firm
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Question:
Assume that after applying the free cash flow valuation model to the data for a given firm you recognize that the constant annual growth rate for the period following the initial high-growth period is too high What effect would be lowering this rate have on the valuation model?
Related Book For
Principles of Managerial Finance
ISBN: 978-0134476315
15th edition
Authors: Chad J. Zutter, Scott B. Smart
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