ABC company has never paid a dividend. Free cash flow is projected to be $60,000, $80,000 and $100,000 for the next 3 years, respectively; after the third year, FCF is expected to grow at a constant rate of 9%. The companys weighted average cost of capital is 14%. Moreover, ABC has $100,000 in marketable securities, $5,000 in Notes payable, $150,000 in long term debt, and 10,000 shares of stock.

a. What is the terminal, or horizon, value of operations?

b. Calculate the value of ABCs operations.

c. What is the intrinsic price per share?