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I need help with these photos 1. (10 points) The FCF of company ABC is growing at a constant rate 8%. FCF0 = $25 million.
I need help with these photos
1. (10 points) The FCF of company ABC is growing at a constant rate 8%. FCF0 = $25 million. The weighted average cost of capital (WACC) for this company is 18%. This company has a short- term investment of $7 million debt $12 million and preferred stock of $1 million. The number of shares outstanding is 10 million. How much is the stock price according to the FCFF valuation model? 2. (25 points) Company XYZ has the following FCF: Year 1 D = $ 0.5 Year 2 D. =$1 Year 3 D = $ 1.5 Year 4 D. = $ 1.5 Year 5 D. = $ 2.0 Dividend grows at 6% after year 5 Suppose the required return is 8%. How much is the common stock price for this company? 3. (25 points) Please calculate the expected free cash flow (FCF) for year 2024 given the following in formation
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