What is the value of operations

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1. John and Laurie are saving for their daughter's college tuition. They started by saving $5,000 in the first year and increased savings by 3% each year. The present worth of the planned cash flows is $34,202. Given interest rate of 6%, how many years did they save for?

2. The projected cash flow for the next year for Minesuah Inc. is $100,000, and FCF is expected to grow at a constant rate of 6%. If the company's weighted average cost of capital is 11%, what is the value of its operations?

Reference no: EM131990852

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