Vinay The MoMi Corporation's cash flow from operations before interest and taxes was $4.8 million in the year just ended, and it expectsthat this will grow by 5% per year forever. To make this happen, the firm will have to invest an amount equal to 20% of pretax cash floweach year. The tax rate is 21%. Depreciation was $340,000 in the year just ended and is expected to grow at the same rate as theoperating cash flow. The appropriate market capitalization rate for the unleveraged cash flow is 13% per year, and the firm currentlyhas debt of $6.9 million outstanding. Use the free cash flow approach to value the firm's equity. (Round answer to nearest wholenumber. Enter your answer in dollars not in millions.)Answer is complete but not entirely correct.$ (2,029,650) XValue of the equity

Free cash flow is the cash flow which is available with the firm to distribute to the shareholders.…

he MoMi Corporation's cash flow from operations before interest and taxes was $4.8 million in the year just ended, and it expects hat this will grow by 5% per year forever. To make this happen, the firm will have to invest an amount equal to 20% of pretax cash f ach year. The tax rate is 21%. Depreciation was $340,000 in the year just ended and is expected to grow at the same rate as the perating cash flow. The appropriate market capitalization rate for the unleveraged cash flow is 13% per year, and the firm currently as debt of $6.9 million outstanding. Use the free cash flow approach to value the firm's equity. (Round answer to nearest whole umber. Enter your answer in dollars not in millions.) > Answer is complete but not entirely correct. Value of the equity $ (2,029,650) X