Victoria enterprises expects earnings before interest and


Victoria Enterprises expects earnings before interest and taxes(EBIT) next year of $ 2.5 million. Its depreciation and capital expenditures will both be $285,000, and it expects its capital expenditures to always equal its depreciation. Its working capital will increase by $54,000 over the next year. Its tax rate is 32%. If its WACC is 11% and its FCFs are expected to increase at 3% per year in perpetuity, what is its enterprise value?

The company's enterprise value is $

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Financial Management: Victoria enterprises expects earnings before interest and
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