Question: help Check My Work (1 remaining) eBook Problem Walk-Through Value of Operations Kendra Enterprises has never paid a dividend. Free cash flow is projected to
Check My Work (1 remaining) eBook Problem Walk-Through Value of Operations Kendra Enterprises has never paid a dividend. Free cash flow is projected to be $80,000 and $100,000 for the next 2 years, respectively, after the second year, FCF is expected to grow at a constant rate of 6%. The company's weighted average cost of capital is 19% a. What is the terminal, or horizon, value of operations? (Hint: Find the value of all free cash flows beyond Year 2 discounted back to Year 2.) Round your answer to the nearest cent. $ b. Calculate the value of Kendra's operations. Do not round intermediate calculations, Round your answer to the nearest cent
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