Answer the question

Compressed Adjusted Present Value Schwarzentraub Corporations' expected free cash flow for the year is $300,000; in the future, free cash flow is expected to grow at a rate of 10%. The company currently has no debt, and its cost of equity is 14%. Its tax rate is 40%. Use the compressed adjusted value approach to answer the following questions. Do not round intermediate calculations. a. Find Vu. Enter your answers in millions. For example, an answer of $10,550,000 should be entered as 10.55. Round your answer to two decimal places. $ l:] million b. Find VL if Schwarzentraub uses $8 million in debt with a cost of 7%. Use the APV model that allows for growth. Enter your answers in millions. For example, an answer of $10,550,000 should be entered as 10.55. Round your answer to two decimal places. 3; million Find rsL if Schwarzentraub uses $8 million in debt with a cost of 7%. Use the APV model that allows for growth. Round your answer to one decimal place. /o c. Based on Vu from Part a, find VL using the MM model (with taxes) if Schwarzentraub uses $8 million in 7% debt. Enter your answers in millions. For example, an answer of $10,550,000 should be entered as 10.55. Round your answer to two decimal places. $ million Based on VU from Part a, find rsL using the MM model (with taxes) if Schwarzentraub uses $8 million in 7% debt. Round your answer to one decimal place. /o