Question: Suppose a venture's first cash flow is expected in Year 5, and the cash flow is expected to be 464,455. A comparable firm has earnings
Suppose a venture's first cash flow is expected in Year 5, and the cash flow is expected to be 464,455. A comparable firm has earnings of 25,851,200 and a market cap of 511,423,042. Assuming a discount rate of 16%, find the present value (at Year 0) of the firm in dollars.
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