Young & Liu Inc.'s free cash flow during the just-ended year (t = 0) was $125 million, and FCF is expected to grow at a constant rate of 11% in the future. If the weighted average cost of capital is 14%, what is the firm's value of operations, in millions? (Round your answer to 2 decimal places.)

Financial Management: Theory & Practice
16th Edition
ISBN:9781337909730
Author:Brigham
Publisher:Brigham
Chapter7: Corporate Valuation And Stock Valuation
Section: Chapter Questions
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Young & Liu Inc.'s free cash flow during the just-ended year (t = 0) was $125 million, and FCF is expected to grow at a constant rate of 11% in the future. If the weighted average cost of capital is 14%, what is the firm's value of operations, in millions?

(Round your answer to 2 decimal places.)

 
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