If there are 500 million shares outstanding, use the following information to find a fair equity value for Galaxy Interiors stock using the Free Cash Flow (FCF) model.

Also, assume the following:

• Free cash flow (FCF) will grow at 2.5%
• Galaxy's equity beta is 1.50
• Risk-free rate is 3% and market return is 13%
• Currently, Galaxy is not paying any dividends
• Book value of total debt is equal to the market value of debt
• further note that:
  • Net capital spending (NCS) = FIXED ASSETS_end - FIXED ASSETS_beg + DEPRECIATION ;
  • change in Net working capital (NWC) = {CURRENT ASSETS - CURRENT LIABILITIES}_end - { CURRENT ASSETS - CURRENT LIABILITIES }_beg

*note: even if you round your final answers, use at least 6 decimals for your interim calculations

#2.beta = 1.20
		#2. beta = 1.11
		#2. beta = 1.05
		#2. beta = 1.34