Firm ABC was acquired for a purchase price of $10 per share. ABC had 10 million shares outstanding, $5 million in cash, and $20 million in debt at the time of the acquisition. Given a WACC of 9%, and assuming no future growth, what level of annual free cash flow would justify this acquisition price? a) $6.54 million b) $10.35 million c) $35.25 million d) $115 million e) None of the above

Please show all hand written work