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Please answer both 11. More on the corporate valuation model Globo-Chem Co, is expected to generate a free cash flow (FCF) of $14,840.00 millon this
Please answer both
11. More on the corporate valuation model Globo-Chem Co, is expected to generate a free cash flow (FCF) of $14,840.00 millon this year (FCF, = $14,840.00 millon), and the FCF is expected to grow at a rate of 20.20% over the following two years (FCF, and FCF). After the third year, however, the FCF is expected to grow at a constant rate of 2.46% per year, which will last forever (FCF.). Assume the firm has no nonoperating assets. If Globo-Chem Co's welghted average cost of capital (WACC) is 7.38%, what is the current total firm value of Globo-Chem Co.? (Note: Round all intermediate calculations to two decimal places. ) O $488,684.64 million $493,118.10 million $46,607.12 million $407,237.20 million Globo-Chem Co.'s debt has a market value of $305,428 million, and Globo-Chem Co has no preferred stock. If Globo-Chem Co. has 525 million shares of common stock outstanding, what is Globo-Cham Co's estimated Intrinsic value per share of common stock? (Note: Round all intermediate calculations to two decimal places.) $193.92 $581.77 $213.31 $192.92 Step by Step Solution
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