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The Following Are Forecasted Residual Operating Income (ROPI) for Reed

Question 70

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The following are forecasted residual operating income (ROPI) for Reed Corporation for 2017:
The following are forecasted residual operating income (ROPI) for Reed Corporation for 2017: Assume a discount rate of 6%, an expected terminal growth rate of 2% and 2017 NNO of $17,314. What is the firm's equity value using the ROPI valuation model? A) $71,130 B) $53,816 C) $67,988 D) $17,314 E) None of the above Assume a discount rate of 6%, an expected terminal growth rate of 2% and 2017 NNO of $17,314. What is the firm's equity value using the ROPI valuation model?


A) $71,130
B) $53,816
C) $67,988
D) $17,314
E) None of the above

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