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Need help on Hw, ill leave a like! (round to 4 dec. if possible) Assume that today is December 31,2018 and that the following information
Need help on Hw, ill leave a like! (round to 4 dec. if possible)
Assume that today is December 31,2018 and that the following information applies to Vermeil Airlines: - After-tax operating income [EBIT(1 - T)] for 2019 is expected to be $452 million. - The depreciation expense is expected to be $91 million. - The capital expenditures are expected to be $180 million. - No change is expected in net operating working capital. - The free cash flow is expected to grow at a constant rate of 3.9% per year. - The required return on equity is 14.3%. - The WACC is 10%. - The market value of the company's debt is $3.4 billion. - 111 million shares of stock are outstanding. Using the corporate valuation model approach, what should be the company's stock price today Step by Step Solution
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