Given the following data for Kriya Company:
Year: 1 2 3 4
Free Cash Flow in millions: 4 5 6 6.24
A constant growth rate of 4% is sustained forever after year 3. The weighted average cost of
capital is 10%. What is the value of the firm?
PV of growing cash flows = C/(R - G) , where C = Cash Flow in Year 1, G = growth Rate and R = cost of ...
The expert examines Kriya Company's free cash flow.