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A company is expected to have free cash flows of $1.05 million next year. The weighted average cost of capital is WACC = 10.5%, and the expected constant growth rate is g = 6.6%. The company has $3 million in short-term investments, $1.5 million in debt, and 1 million shares. What is the stock's current intrinsic stock price? (4 points)

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Elin Hessel
Elin HesselLv2
28 Sep 2019

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