A stock analyst collected the following information about ABC Inc.: - The firm required rate of return on equity is 17% and its WACC is estimated at 14%. - Based a thorough forecast, the analyst estimates for the free cash flows to the firm for the next two years are 820,000 and 970,000 respectively. His estimates for the free cash flows to equity are however: 550,000 and 660,000 for the next two years respectively. - Both FCFFs and FCFEs are expected to grow at a constant rate of 5% after the second year. The value of the firm is closest to: Question 13 options: 1) $8,245,228.47 2) $9,445,615.08 3) $10,173,489.28 4) $11,098,614.25

$5,170,940.17

Explanation:

The computation of the value of the firm is shown below:

As we know that

where,

FCFE = Free cash flow of equity

ke = cost of equity

g = growth rate

So,

= $470,085.47 + $482,138.94 + $4,218,715.76

= $5,170,940.17

This is the answer but the same is not provided in the given options

We simply applied the above formula so that the value of the firm could come

the correct answer is - no.

winnipeg, canada, is not further away from the equator than moscow, russia, in fact moscow is the city that is further away from the equator. moscow is on a latitude of 55.7558° north, while winnipeg is on a latitude of 49.8951° north, thus putting moscow by 5.8607° further away from the equator than winnipeg is.

answer(eu) is the correct answer;