Next year's UFCF is $15. WACC = 12%, perpetuity growth = 2%. Calculate terminal value.

Answer

TV = FCF(n+1) / (WACC − g) = $15 / (12% − 2%) = $15 / 10% = $150. Important catch: because you're given NEXT year's FCF directly, you do NOT multiply by (1+g) — that step is already baked in.