subject
Business, 12.08.2019 20:10 kookharakura

The momi corporation’s cash flow from operations before interest and taxes was $4 million in the year just ended, and it expects that this will grow by 5% per year forever. to make this happen, the firm will have to invest an amount equal to 16% of pre tax cash flow each year. the tax rate is 35%. depreciation was $300,000 in the year just ended and is expected to grow at the same rate as the operating cash flow. the appropriate market capitalization rate for the unlevered cash flow is 13% per year, and the firm currently has debt of $6.5 million outstanding. use the free cash flow approach to value the firm’s equity. (round answer to nearest whole number. enter your answer in dollars not in millions.)

ansver
Answers: 2

Another question on Business

question
Business, 22.06.2019 08:10
What are the period and vertical shift of the cosecant function below? period: ; vertical shift: 1 unit up period: ; vertical shift: 2 units up period: ; vertical shift: 1 unit up period: ; vertical shift: 2 units up?
Answers: 3
question
Business, 22.06.2019 11:10
Which feature is a characteristic of a corporation?
Answers: 1
question
Business, 22.06.2019 14:30
Stella company sells only two products, product a and product b. product a product b total selling price $50 $30 variable cost per unit $20 $10 total fixed costs $2,110,000 stella sells two units of product a for each unit it sells of product b. stella faces a tax rate of 40%. stella desires a net afterminustax income of $54,000. the breakeven point in units would be
Answers: 3
question
Business, 22.06.2019 21:30
An allergy products superstore buys 6000 of their most popular model of air filters each year. the price of the air filters is $18. the cost of ordering and receiving shipments is $12 per order. accounting estimates annual carrying costs are 20% of the price. the supplier lead time is 2 days. the store operates 240 days per year. each order is received from the supplier in a single delivery. there are no quantity discounts. what is the store’s minimum total annual cost of placing orders & carrying inventory?
Answers: 1
You know the right answer?
The momi corporation’s cash flow from operations before interest and taxes was $4 million in the yea...
Questions
question
Mathematics, 21.09.2019 03:20