What is the value of the store

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Reference no: EM131923322

Question: You own a store that is expected to make annual cash flows forever. The cost of capital for the store is 16.83 percent. The next annual cash flow is expected in one year from today and all subsequent cash flows are expected to grow annually by 1.68 percent. What is the value of the store if you know that the cash flow in 5 years from today is expected to be 11,300?

Reference no: EM131923322

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