What is the firms current value of operations

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Zhdanov Inc. forecasts that its free cash flow in the next two years will be, Year FCF t=1 -$10 million t=2 $20 million After Year 2, FCF is expected to grow at a constant rate of 4% forever. If the weighted average cost of capital is 14%, what is the firm's current value of operations, in millions? $158 $167 $175 $184 $193

Reference no: EM13268248

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