What is the horizon or continuing value


Problem: Current and projected free cash flows for Radell Global Operations are shown below. Growth is expected to be constant after 2007. The weighted average cost of capital is 11%. What is the horizon or continuing value of 2007?

FCF ( in millions of Dollars)
Projected

Actual
2005           2006         2007        2008
$606.82    $667.50    $707.55    $750.00

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Finance Basics: What is the horizon or continuing value
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