How do compute what is estimate price

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Problem 1: You estimate free cash flow to the firm (FCF) for fortune Inc. Will be $500 million next year (at t=1). You estimate FCC will then grow 2% year forever. If the discount rate for FCFF is 7%, Net debt is $4Billion, and there are 600 million shares outstanding, what is your estimate price?

Reference no: EM133000321

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