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I HOPE u can help me. Thank You in advance 1 HOUR GIVEN TIME TO FINISH THE TASK Giving UPVOTE and GOOD comment Finance. For
I HOPE u can help me. Thank You in advance
1 HOUR GIVEN TIME TO FINISH THE TASK
Giving UPVOTE and GOOD comment
Finance.
For the year ending December 2018,MTC Corporation is expected to have a free cash flow amounting to P400,000. For the years 2019 and 2020, the company's free cash flow will grow by 5% per annum and after that, the growth rate will be at 4% for the succeeding years. The weighted average cost of capital of the company is 10%. Additional Information: market value of the company's debt = P 3,000,000 market value of preferred shares = P 800,000 Requirements: 1. What is the company's fair market value? 2. what is the intrinsic value of the company's stock if MTC Corporation has 1,000,000 shares of common stock outstanding? * Round off final answers to two (2) decimal places, exclude currency sign and include comma as separator
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