Following are a company's income statement at the end of the last year $($year $0)$ and

coming year $($year $1).$ Each year, the company's inventory needs to be maintained at

$3\%$ of sales, and accounts payable need to be $5\%$ of sales. The company's accounts

receivable do not change. Capital expenditure each year needs to be $20\%$ of sales.

$($a$)$ What is the free cash flow in year $1?$

$($b$)$ The company's business is stable, and the annual free cash flow in the future is

expected to be the same as year one. The firm$-$specific discount rate is $8\%,$ and

the risk$-$free rate is $2\%.$ What is the enterprise value of the company?

$($c$)$ The company has $$70,000$ in cash and $$250,000$ in debt. In addition, it has $1,000$

shares outstanding. What is the company's stock price per share?