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Brandtly Industries invests a large sum of money in R&D; as a result, it retains and reinvests all of its earnings. In other words, Brandtly

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Brandtly Industries invests a large sum of money in R\&D; as a result, it retains and reinvests all of its earnings. In other words, Brandtly does not pay any dividends; and it has no plans to pay dividends in the near future. A major pension fund is interested in purchasing Brandtly's sto The pension fund manager has estimated Brandtly's free cash flows for the next 4 years as follows: $2 million, $7 million, $11 million, and $14 million. After the fourth year, free cash flow is projected to grow at a constant 4%. Brandtly's WACC is 15%, the market value of its debe and preferred stock totals $64 million, the firm has $14 million in nonoperating assets, and it has 24 milion shares of common stock outstandino. a. What is the present value of the free cash flows projected during the next 4 years? Do not round infermedlate calculations. Round your answer to the nearest dollar. Write out your answers completely. For example, 13 million should be entered as 13,000,000. $ b. What is the firm's horizon, or continuing, value? Round your answer to the nearest dollar. Write out your answers completely. For example, 13 milion should be entered as 13,000,000. c. What is the market value of the company's operations? Do not round intermedlate calculations. Round your answer to the nearest dollar White out your answers completely. For example, 13 million should be entered as 13,000,000. What is the firm's total market value today? Do not round intermediato calculations. Round your answer to the neareat doinac write ous your. answers comoletelu. For example, 13 million should be entered as 13,000,000. d. What is an estimate of Brandtly's price ger share? Do not round intermedate calcuations Aound yaur answer to the nearest cent

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