The cost of equity is 12 what will be the value of equity


Assume another company had the following information related to the free cash flows to equity holders in amount of $1.5 million a year from now and also growing at the same rates as given above. The cost of equity is 12%. What will be the value of equity of the firm? What will be the value of the company if it has a debt of $7.5 million?

Request for Solution File

Ask an Expert for Answer!!
Finance Basics: The cost of equity is 12 what will be the value of equity
Reference No:- TGS0610746

Expected delivery within 24 Hours