According to the value-based management model, what is the stock price per share given the following data?

Year

1

Revenue

850.00

Fixed costs

100.00

Variable costs

280.00

Additional investment in NWC

3.00

Additional investment in operating long-term assets

80.00

Depreciation

75.00

Tax rate

0.40

The free cash flow is expected to grow at 10% per year from year 1 to year 5 and 6% per year after year 5 to infinity.

WACCcomp =12%.

Market value of the firm:

Price per share

Number of shares

Market value

Long-term debt

700.00

Preferred stock

7.00

10

70.00

Common stock, equity

15.00

100

1,500.00

Total

2,270.00

Market value of non-operating short-term assets=50

Market value of non-operating long-term assets=80