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Atrompts $2\mathrm{.}4$

Keep the Hikhest $2\mathrm{.}4/6$

$4.$ The multi$-$stage valuation model

Consider the case of Purple Panda Pharmaceuticals inc.:

Purple Panda phamaceuticals Inc is expected to generate a free cash flow $($FCF$)$ of $$130,000$ this year, and the FCF is expected to orow at a rate of $12\%$ over the following two years $($FCF$2$ and FCF$1).$ After the third year, however, the company's FCFs are expected to grow at a constant rate of $5\%$ per vear, which will last forpver $($ FCF ${?}_{4-}).$ If Purple Panda's weighted average cost of capital $($WACC$)$ is $10\%,$ complete the following table and compute the current value of Purple Panda's operations. Round all dollar armounts to the nearest whole dollar, and assume that the firm does not have any nonoperating assets in its balance sheet and that all FCFs occur at the end of each year.

$\backslash$table$[[$Year$,C{F}_8,PV(FCF{F}_E)$