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4. More on the corporate valuation model Aa Aa Allied Biscuit Co. is expected to generate a free cash flow (FCF) of $9,835.00 million this
4. More on the corporate valuation model Aa Aa Allied Biscuit Co. is expected to generate a free cash flow (FCF) of $9,835.00 million this year (FCF1 = $9,835.00 million), and the FCF is expected to grow at a rate of 20.20% over the following two years (FCF2 and FCF). After the third year, however, the FCF is expected to grow at a constant rate of 2.46% per year, which will last forever (FCF4). If Allied Biscuit Co.'s weighted average cost of capital (WACC) is 7.38%, what is the current total firm value of Allied Biscuit Co. O $323,868.89 million O $326,807.11 million O $269,890.74 million O $30,888.21 million Allied Biscuit Co.'s debt has a market value of $202,418 million, and Allied Biscuit Co. has no preferred stock. If Allied Biscuit Co. has 375 million shares of common stock outstanding, what is Allied Biscuit Co.'s estimated intrinsic value per share of common stock? O $539.78 $178.93 O $197.92 O $179.93
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