Dozier Corporation is a fast-growing supplier of office products. Analysis projects the following free cash flows (FCFs) during the next 3 years, after which FCF is expected to grow at a constant 7% rate. Dozier’s weighted average cost of capital is WACC = 13%. (corporate valuation),, Year,, 1 2 3,,Free cash flow ($ millions) -$20 $30 $40,,a.)What is Dozier’s terminal, or horizon, value? (Find the value of all free cash flows beyond year 3 discounted back to year 3). ,,b.)What is the current value of operations for Dozier? ,,
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