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Free Cash Flow Valuation Dozier Corporation is a fast - growing supplier of office products. Analysts project the following free cash flows ( FCFs )
Free Cash Flow Valuation
Dozier Corporation is a fastgrowing supplier of office products. Analysts project the following free cash flows FCFs during the next years, after which FCF
is expected to grow at a constant rate. Dozier's weighted average cost of capital is WACC
a What is Dozier's horizon value? Hint: Find the value of all free cash flows beyond Year discounted back to Year Enter your answer in millions.
For example, an answer of $ should be entered as Round your answer to two decimal places.
$ million
b What is the current value of operations for Dozier? Do not round intermediate calculations. Enter your answer in millions. For example, an answer
of $ should be entered as Round your answer to two decimal places.
$ million
c Suppose Dozier has $ million in marketable securities $ million in debt, and million shares of stock. What is the intrinsic price per share?
Do not round intermediate calculations. Round your answer to the nearest cent.
$
per share
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