Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please show excel work if possible thank you Phoenix Corp. faltered in the recent recession but is recovering. Free cash flow has grown rapidly. Forecasts

please show excel work if possible thank you
image text in transcribed
Phoenix Corp. faltered in the recent recession but is recovering. Free cash flow has grown rapidly. Forecasts made in 2019 are as follows: Phoenix's recovery will be complete by 2024 , and there will be no further growth in net income or free cash flow. a. Calculate the PV of free cash flow, assuming a cost of equity of 8%. (Do not round intermediatt calculations. Enter your answer in millions rounded to 2 decimal places.) b. Assume that Phoenix has 11 million shares outstanding. What is the price per share? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

More Books

Students also viewed these Finance questions