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Consider the following information for the fictional firm KXS Designs, Inc. Assume that the firm is in a mature industry and has a constant growth
Consider the following information for the fictional firm KXS Designs, Inc. Assume that the firm is in a mature industry and has a constant growth rate.
i Determine the FCFF and the intrinsic value of the firm.
ii Determine the enterprise value of the firm.
iii. Determine the FCFE and the intrinsic price per share.
The firm has bonds outstanding with a YTM of and a market value of $ mln
KXSs stock is currently priced at $ and there are mln shares outstanding.
The correlation of returns of KXSs stock and those of the S&PTSX Composite Index is
The annualized volatility of the returns on KXSs stock over the past years is while that of the S&PTSX Composite Index is
The current Government of Canada Year Benchmark Bond Yield is and the expected return on the S&PTSX Composite Index is
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