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and show me how to solve in Excel

Problem 10-2 Covan, Inc., is expected to have the free cash flows in the table below. Complete the steps below using cell references to give data or previous calculations. In some cases, a simple cell reference is all you need. To copy paste a formula across a row or down a column, un absolute cell reference or a mixed cell reference may be preferred. If a specific Excel function is to be used the directions will specify the use of that function. De mortype in numerical data into a cell or function. Instead, make a reference to the cell in which the data ix found. Make your computations only in the blue cells highlighted below. In all cases, unless otherwise directed, use the earliest appearance of the data in your formulas, usually the Given Data section .. Covan has 8 million shares outstanding, $3 million in excess cash, and it has no debt. If its cost of capital is 12% what should its stock price be? b. Covan reinvests all its FCF and has no plans to add debt or change its cash holdings. If you plan to sell Covan at the beginning of year 2, what should you expect its price to be? c. Assume you bought Covan stock at the beginning of year 1. What is your expected return from holding Covan stock until year 27 Year Free Cash Flow (million) 2 s 10S 125 14 4% Growth 4 s Growth rate 4% Number of periods until steady growth 1. Covan has 8 million shares outstanding. S3 million in excess cash, and it has no debt. If its cost of capital is 12% what should its stock price be? Number of shares (million) Excess cash (million) 3 Debt (million) 50.00 Cost of capital 12% Cash flowin year 5 million) Value in year 4 million) Enterprise value (million) Value of equity (million) Price per share b. Covan reinvests all its FCF and has no plans to add debt or change its cash holdings. If you plan to sell Covan at the beginning of year 2, what should you expect its price to be! After-sale number of periods left until staedy growth Enterprise value (million) Value of equity (million) Price per share c. Assume you bought Covan stock at the beginning of year 1. What is your expected retum from holding Covan stock until year 2? Holding period retum 5 Puu Ruin 3 4 quirements 2 1 In cell D22. by using cell references, calculate the cash flow in year 5 (1 pt.). 2 In cell D23, by using cell references, calculate the value of the company in year 4 (1 pt.). 3 In cell D24, by using the NPV function and cell references, calculate the enterprise value of the company. Note: Use cell D13 as the number of periods to discount the value you calculated in cell D23. (1 pt.). 4 In cell D25, by using cell references, calculate the value of the equity. Note: Even though the value of "Debt" is zero, include cell D19 in your expression to calculate the value of equity. (1 pt.). 5 In cell 026, by using cell references, calculate the price per share (1 pt.). 6 In cell 032, by using the NPV function and cell references, calculate the enterprise value of the company in one year. Note: Use cell D30 as the number of periods to discount the value you calculated in cell D23. (1 pt.). 7 In cell D33, by using cell references, calculate the value of the equity in one year. Note: Even though the value of "Debt" is zero, include cell D19 in your expression to calculate the value of equity. (1 pt.). In cell D34, by using cell references, calculate the price per share in one year (1 pt.), In cell D38, by using cell references, calculate the holding period return (1 pt.). 6 7 8 18 19 So 51 52 9