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The following data is for the coming year. FinCorp's Net Income is reported as $195million. Depreciation...

The following data is for the coming year. FinCorp's Net Income is reported as $195million. Depreciation Expense is $20million, accounts receivable decreased by $20 million, accounts payable decreased by $10 million, and inventories increased by $10 million. The firm's interest expense is $22million. Assume the tax rate is 35% and the net debt of the firm increases by $3million. What is the market value of equity if the FCFE is projected to grow at 3% indefinitely and the cost of equity is 11%?

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jeff jeffy answered 2 years ago
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