Weighted average cost of capital-value of the firm

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Reference no: EM13731528

Slippery Slope Roof's net cash flows are as follows:

Net Cash Flow: year 1 70000, year 2 60000, year 3 96000

After year 3, net cash flows grew at a constant rate of 3%. The weighted average cost of capital is 9%.

What is the value of the firm?

A. 1,215,650

B. 1,328,141

C. 1,461,439

D. 1,575,941

E. None of these

Reference no: EM13731528

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