Go-Flex Corporation is considering going public but is unsure of a fair offering price for the company. Before hiring an investment banker to assist in making the public offering, managers at Go-Flex have decided to make their own estimate of the value of the company's ordinary shares. The company's CFO gathered the following data for performing the valuation using the free cash flow valuation model.

The company's weighted average cost of capital is 12 %. It has $1,400,000 of debt at market value and $500,000 of preferred equity at its assumed market value. The estimated free cash flows over the next five years, 2016 to 2020, follow. Beyond 2020, to infinity, the company expects its free cash flow to grow by 4 % annually.

Year Free Cash Flow

2016 $250,000 2017 $290,000 2018 $320,000 2019 $360,000 2020 $400,000

1. Estimate the value of Go-Flex Corporation's entire company by using the free cash flow approach.
2. Use your finding in part (a), along with the data provided above, to find Go-Flex Corporation's ordinary share value.
3. If the company plans to issue 220,000 ordinary shares, what is its estimated value per share?