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Vandell's free cash flow is 2 million per year and is expected to grow at a constant rate of 5 percent a year; its beta is 1.4. What is the value of
Vandell's free cash flow is 2 million per year and is expected to grow at a constant rate of 5 percent a year; its beta is 1.4. What is the value of Vandell's operations? If Vandell has $10.82 million in debt, what is the current value of Vandell's stock?cost of debt=8%, Risk free rate =5% and Risk premium= 6%, tax rate =40%