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1 . Calculate the FCFE ( $million ) for year 2 0 2 4 ? 2 . Assume that FCFE per share in 2 0

1. Calculate the FCFE ($million) for year 2024?
2. Assume that FCFE per share in 2024= $50. What is the P (per share) in the trailing P/E at the beginning of 2026?
3. Assume that FCFE per share in 2024= $50. What is the E (per share) in the trailing P/E at the beginning of 2026?
4. Assume that FCFE per share in 2024= $50. What is the P (per share) in the leading P/E at the beginning of 2025?
5. Assume that FCFE per share in 2024= $50. What is the E (per share) in the leading P/E at the beginning of 2025?It is currently the beginning of 2024.
The information regarding a company is below:
Sales was $350 million in 2023. Sales is predicted to grow at 6% per year during
2024-2025, and 2% starting 2026.
Throughout all years,
Net income =32% of sales; Depreciation =9% of sales;
Interest expenses =2% of sales;
Investment in gross fixed assets =35% of sales;
Investment in working capital (excluding cash and short-term debt)=6% of sales;
o 22% of the investment in assets (including investments in gross fixed assets and
working capital) will be financed with net borrowing.
Cost of equity =15%; Number of shares outstanding =2 million
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