Question: (5) 4. Use the given information to calculate the value of the firm. After the projected period, free cash flow is expected to grow at
| (5) 4. Use the given information to calculate the value of the firm. After the projected period, free cash flow is expected to grow at a constant 3.5%. Show all work. | ||||
| Revenue Growth for the next 2 years | 6.00% | |||
| COGS | 55.00% | WACC | 10.90% | |
| SG&A | 20.00% | Tax Rate | 39.00% | |
| Net working capital (NWC)/sales | 22.00% | |||
| Depreication | 1000 | Straight-line depreciation | ||
| 2022 | 2023 | 2024 | ||
| Revenue ($ thousands) | 9,000 | |||
| NWC | ||||
| NPPE | 7,000 | 8,200 | 8,610 | |
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