Question: Here table [ [ PV 1 - 3 , 3 5 7 . 9 3 million,,,, ] , [ PV 4 - 6 ,

Here\table[[PV1-3,357.93 million,,,,],[PV4-6,527.91 million,,TPV,$5,685.79,million],[PV7-...,8050.00 million,$4,799.95,million,,]] is an example of the most common use of the growing perpetuity model (called pro forma). Your firm just finished the year, in which it had cash earnings of $100 million. Excluding this amount, you want to determine the value of the firm. You forecast your firm to have a quick growth phase for 3 years, in which is grows at rate of 20% per annum (ending year 1 with $120 up to ending year 3 with 172.8). Your firm's gorwth then slows down to 10% per annum for the next 3 years (ending year 4 with $190.1,etc). Finally, beginning in year 7, you expect it to settle into its long-term growth rate of 5% per annum. You also expect your cost of capital to be 10% in your 20% growth pahse, 9% in your 10% growth phase, and 8% in your 5% growth phase. Excluding the $100 million, what do you think your firm is worth today?
 Here\table[[PV1-3,357.93 million,,,,],[PV4-6,527.91 million,,TPV,$5,685.79,million],[PV7-...,8050.00 million,$4,799.95,million,,]] is an example of the most common

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