Dozier Corporation is a fast growing supplier of office products. Analysis project the following free cash flows (FCFs) during the next 3 years after which FCF is expected to grow at a constant 7% rate. Doziers weighted average costt of capital is WACC = 13%

Year

1 2 3

Free Cash Flow ($millions) $-20 $30 $40

A. What is Doziers terminal or horizon value? Hint: find the value of all free cash flows beyond year 3 discounted back to year 3.---Answer is--$713.33 million--SHOW ALL WORK AND FORMULA TO SUPPORT ANSWER.

B. What are the current value of operations for Dozier? Answer is ---$527.89 million. Show all work and formula

C. Suppose Dozier has 10 Million in marketable secutities, 100 million in debt and 10 million shares of stock. What is the intrinsic price per share? Answer is ---$43.79. Show all work and formulas.