Dantzler Corporation is a fast-growing supplier of office prod- ucts. Analysts project the following free cash flows (FCFs) during the next 3 years, after which FCF is expected to grow at a constant 5% rate. Dantzlers WACC is 11%.

a. What is Dantzlers horizon, or continuing, value? (Hint: Find the value of all free cash flows beyond Year 3 discounted back to Year 3.)

b. What is the firms market value today? Assume that Dantzler has zero non-operating assets.

c. Suppose Dantzler has $112.60 million of debt and 25 million shares of stock outstanding. What is your estimate of the current price per share?

please show formulas and all work.

Year 0 1 2 + $17 +N 3 H $45 FCF ($ millions) -$11