3. Free cash flow to the firm (FCFF) in year 6 is closest to:
4. The terminal value in year 5 is closest to: A. $206.12.
5- The value of the firm using a FCFF model is closest to:
Use the following information to answer Questions 6 through 10.
An analyst following Barlow Energy has compiled the following information in preparation for additional analysis she has to include in a report she has been asked to produce (data is in hundreds of millions of $):
Security Type Market Value ^efore J~ax
Preferred stock $200 7.0%
Common stock $700 14.0%
Bonds are trading at par
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