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Last year Mtech generated $5 million in after tax earnings last year, depreciation charges was $1.5 million, and it invested $0.3 million in new working

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Last year Mtech generated $5 million in after tax earnings last year, depreciation charges was $1.5 million, and it invested $0.3 million in new working capital and $0.7 million in new fixed asset. Required rate of return is 10% and there are 5 million outstanding shares a. Calculate the FCFE per share. (2 marks) b. If FCFE is constant, calculate the share value. (2 marks) c. If FCFE grows at 6% constantly, calculate the share value. (2 marks) 4

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