Nabor Industries is considering going public but is unsure of a fair offering price for the company. Before hiring an investment banker to assist in making the public offering managers at Nabor have decided to make their own estimate of the firm's common stock value. The firm's CFo has gathered data for performing the valuation using the free cash flow valuation model. The firm's weighted average cost of capital is 15% and it has 1,640,000 of debt at market value and $330,000 of preferred stock at its assumed market value. The estimated free cash flows over the next 5 years 2016 through 2020 are given in the table. Beyond to infinity the firm expects its free cash flow to gow by 3% annually. a: estimate the value of Nabor Industires entire company by using the free cash flow valuation model. b: use your finding in part along with the ata provided above to find Nabor Industires common stock value. c: if the firm plans to issue 200,000 shares of common stock what is its estimated value per share?

Table Year (t) Free cash flow (FCF)

2016 300,000

2017 330,000

2018 360,000

2019 430,000

2020 480,000