Acompany's free cash flow was just fcf0 = $1.50 million. the weighted average cost of capital is wacc = 10.1%, and the constant growth rate is g = 4.0%. what is the current value of operations? a. $23.11 millionb. $23.70 millionc. $24.31 milliond. $24.93 millione. $25.57 million

current value = $25.5738 Million

so correct option is e. $25.57 million

Explanation:

given data

free cash flow FCF0 = $1.50 million

weighted average cost of capital WACC = 10.1 %

constant growth rate g = 4.0%

to find out

current value of operations

solution

we apply here formula for current value that is express as

current value =   ..................1

put here value we get

current value =  

current value =  

current value =    

current value = $25.5738 Million

so correct option is e. $25.57 million

d, conspicuous consumption is when you try to increase your wealth or social status (and in the case he's trying to create the perception of wealth considering he can't really afford it)

answer; encouraging the development of innovations by firms attempting to break a monopoly; (creative destruction)