Please consider the following information for the next 4 questions (Q17 - Q20). university Inc. is for sale and there is a price tag of $225,000.Your company, ABC, who is considering the purchase,has a beta of 1.5, the market is expected to have a 20% return and the risk-free rate is 5%. The forecasted free cash flows for the next 4 years for Universityare 7000 (FCF1), 22000(FCF2), 0(FCF3), and 50000 (FCF4). The company is expected to grow at 4% indefinitely after that.Your company has a debt/equity ratio of 2/3 and the applicable tax rate is 35%.ABC's cost of debt (before taxes) is 8%. What is the cost of equity for ABC company?

Continuing with the information from Q17, what is ABC's WACC?

Continuing with the information from Q17, what is the terminal value for University Inc. after the 4th year (TV4)?

Continuing with the information from Q17, what is the NPV of purchasing University Inc.?