Ergo Unlimited's current year's free cash flow is $10 million. It is projected to grow at 20%

Question:

Ergo Unlimited's current year's is $10 million. It is projected to grow at 20% per year for the next five years. It is expected to grow at a more modest 5% beyond the fifth year. The firm estimates that its is 12% during the next five years and then will drop to 10% beyond the fifth year as the business matures. Estimate the firm's current market value.
Cost Of Capital
Cost of capital refers to the opportunity cost of making a specific investment . Cost of capital (COC) is the rate of return that a firm must earn on its project investments to maintain its market value and attract funds. COC is the required rate of... Free Cash Flow
Free cash flow (FCF) represents the cash a company generates after accounting for cash outflows to support operations and maintain its capital assets. Unlike earnings or net income, free cash flow is a measure of profitability that excludes the...