a) Janene company has a net free cash flow of $8 million and is expected to grow at 20% during the next 3 years and then grow at 7% thereafter. The company has debt of $120 million and 5,000,000 shares of outstanding common stock. The company pays no dividends and since it would like to retain its earnings, it is not expected to pay any dividends. What are the terminal and intrinsic values of the stock assuming the discount rate is 11% ? (11 Marks) b) Explain how the concept of intrinsic value fits into the security analysis process. (4 Marks) c) The Big Heel company has net profit of $10 million, sales of $150 million and 2.5 million common stocks outstanding. The company has total assets of $75 million and total stockholders equity of $45 million. It pays $1 per share in dividends and the stock trades at \$20 per share. Given this information determine the following for the company: (10 Marks) i) Big Heel's EPS ii) The Price-to-book value ratio iii) The firm's P/E ratio iv) The net profit margin v) The Dividend payout ratio