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I need help with the following question. Ignore the spreadsheet it is not necessary. Please provide an explanation so I understand how you worked it

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I need help with the following question. Ignore the spreadsheet it is not necessary. Please provide an explanation so I understand how you worked it out.

image text in transcribed
Dantzler Corporation is a fastegrowing supplier of ofce products. Analysts project the following free cash flows (FCFs) during the next 3 years, after which FCF is expected to grow at a constant 8% rate. Dantzler's WACC i5 11%. 0 1 2 3 Year FCF ($ millions) ' $12 $25 $45 The data has been collected in the Microsoft Excel Online le below. Open the spreadsheet and perform the required analysis to answer the questions below. Open spreadsheet a. What is Dantzler's horizon, or continuing, value? (Hint: Find the value of all free cash flows beyond Year 3 discounted back to Year 3.) Round your answer to two decimal places. Enter your answer in millions. For example, an answer of $13,550,000 should be entered as 13.55. $ million b. What is the firm's value today? Round your answer to two decimal places. Enter your answer in millions. For example, an answer of $13,550,000 should be entered as 13.55. Do not round your intermediate calculations. 3}; million c. Suppose Dantzler has $72 million of debt and 39 million shares of stock outstanding. What Is your estimate of the current price per share? Round your answer to two decimal places. Write out your answer completely. For example, 0.00025 million should be entered as 250. $

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