1. It is expected that a company's FCF at the end of t+1 and t+ 2 will be $2,200 and $2,420 respectively. Also, FCFs are expected to grow at a constant rate after t+2. The WACC for this company is 10 percent and net financial obligation (NFO) of $5,000. There are 1,000 shares outstanding for this company and they are trading at $ 41 per share on a stock exchange. 
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3. What is the implicit terminal growth rate?

Answer rating: 100% (QA)

To calculate the terminal growth rate we can use the formula Terminal value FC... View the full answer