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Amarindo, Inc. (AMR), is a newly public firm with 10.0 million shares outstanding. You are doing a valuation analysis of AMR. You estimate its free

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Amarindo, Inc. (AMR), is a newly public firm with 10.0 million shares outstanding. You are doing a valuation analysis of AMR. You estimate its free cash flow in the coming year to be $15.22 million, and yo expect the firm's free cash flows to grow by 4.3% per year in subsequent years. Because the firm has only been listed on the stock exchange for a short time, you do not have an accurate assessment of AMR's equity beta. However, you do have beta data for UAL, another firm in the same industry: . AMR has a much lower debt-equity ratio of 0.39, which is expected to remain stable, and its debt is isk free. AMR's corporate tax rate is 20%, the risk-free rate is 4.7%, and the expected return on the market portfolio is 10.9%. . Estimate AMR's equity cost of capital. o. Estimate AMR's share price. Data table (Click on the following icon in order to copy its contents into a spreadsheet.)

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