Question: 1. Write down the appropriate discount rate for each discounted cash flow model below. Model DDM FCFF FCFE Discount rate ? ? ? 2. The

1. Write down the appropriate discount rate for each discounted cash flow model below. Model DDM FCFF FCFE Discount rate ? ? ? 2. The tree cash flow to the firm is $300 million in perpetuity (growth rate of FCFF is ), the cost of equity equals 14%, and the WACC is 10%. If the market value of the debt is $1 billion, what is the value of the firm's total equity using the free cash flow valuation approach? Show all your work (do not just give a final number). Hint: recall what we do for the Gordon Growth Model with g-0

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