Question: The analyst estimated the terminal value using the perpetuity growth method, taking into account that the firms FCFF in the last year of the explicit

The analyst estimated the terminal value using the perpetuity growth method, taking into account that the firms FCFF in the last year of the explicit forecast period is 200 mn , assuming a stable growth rate of 2% and a WACC of 10%. What is the implied EV/EBITDA multiple, if EBITDA in the last year is 250 mn ?

a.5.0x

b.10.2x

c.10.0x

d.8.0x

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