part A

Part B

Part C

Free Cash Flow Valuation Dozier Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows (FCFS) during the next 3 years, after which FCF Is expected to grow at a constant 6% rate. Dozier's weighted average cost of capital is WACC - 18%. Year 2 $30 3 1 -520 Free cash flow (millions of dollars) $40 $ a. What is Dozier's horizon value (Hint: Find the value of all free cash flows beyond Year 3 discounted back to Year 3.) Enter your answer in millions For example, an answer of $10,550,000 should be entered as 10.55. Round your answer to two decimal places. million b. What is the current value of operations for Dozier? Do not round Intermediate calculations. Enter your answer in millions. For example, an answer of $10,550,000 should be entered as 10.55. Round your answer to two decimal places million Suppose Dozier has $10 million in marketable securities, $100 million in debt, and 10 million shares of stock. What is the intrinsic price per share? Do not round intermediate calculations. Round your answer to the nearest cent per share Muller's Investigative Services has stock is trading at $75 per share. The stock is expected to have a year-end dividend of $6 per share (01 = $5), and its expected to grow at some constant rate, ou throughout time. The stock's required rate of return is 15% (assume the market is in equilibrium with the required return equal to the expected return). What is your forecast of ? Do not round intermediate calculations. Round the answer to two decimal places. Assume that the average firm in CJ Corporation's Industry is expected to grow at a constant rate of 6% and that its dividend yield is 5%. Co is about as risky as the average firm in the Industry and just paid a dividend (D) of $1.5. Analysts expect that the growth rate of dividends will be 50% during the first year (90,1 50%) and 30% during the second year (91,2 = 30%). After Year 2, dividend growth will be constant at 6%. What is the required rate of return on CB's stock? What is the estimated intrinsic price per share? Do not round Intermediate calculations. Round the monetary value to the nearest cent and percentage value to the nearest whole number % TS