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he following table shows projected free cash flows for the next three years for Care4UMed Corp., a company producing portable oxygen machines. Year Free Cash
he following table shows projected free cash flows for the next three years for Care4UMed Corp., a company producing portable oxygen machines.
Year | Free Cash Flow |
---|---|
(Millions of dollars) | |
1 | 0.95 |
2 | 1.02 |
3 | 1.09 |
After the three year period, Care4UMed is expected to grow at a constant rate of 7% and its WACC is 11%. Care4UMed has $20 million of debt and $225 million shares of stock outstanding.
1. Care4UMeds horizon value is?
2. Care4UMeds value today is?
3. Care4UMeds equity is?
4. Care4UMeds the price per share is?
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