Question: PLEASE ANSWER IN 10 MINS NEED ASAP WILL RATE GOOD IF SO Labrador technologies Inc. plans to become public soon. The board of directors would
Labrador technologies Inc. plans to become public soon. The board of directors would like to know the value of common equity and have asked for your opinion. The firm has $2,266,366 in preferred equity and the market value of its outstanding debt equals $2,880,206. The WACC for this firm is estimated to be 6.58%. For this example assume the current assets are zero. Use the DCF valuation model with the expected FCFs shown below; year 1 represents one year from today and so on. The company expects to grow at a 3.9% rate after Year 5. Rounding to the nearest penny, what is the value of common equity
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