Question
KLeigh Industries forecasts the FCFs shown below ($millions). After Year 4, the FCF will grow at 3% forever. Year 1 Year 2 Year 3 Year
KLeigh Industries forecasts the FCFs shown below ($millions). After Year 4, the FCF will grow at 3% forever.
| Year 1 | Year 2 | Year 3 | Year 4 |
| ($3) | $7 | $18 | $23 |
KLeigh has $11.6 million in Cash and Debt of $22.5 million. If the weighted average cost of capital is 11%, and KLeigh has 7 million shares outstanding, what is the current share price?
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Introduction To Financial Management
Authors: Sudanshu Pandeya
1st Edition
1774695316, 978-1774695319
