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PLEASE SHOW WORK ASAP 11. More on the corporate valuation model Demo Inc. is expected to generate a free cash flow (FCF) of $1,070.00 million
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11. More on the corporate valuation model Demo Inc. is expected to generate a free cash flow (FCF) of $1,070.00 million this year (FCF1-$1,070.00 million), and the FCF is expected to grow at a rate of 22.60% over the following two years (FCF2 and FCF). After the third year, however, the FCF is expected to grow at a constant rate of 3.18% per year, which will last forever (FCF4). If Demo Inc.'s weighted average cost of capital (WACC) is 9.54%, what is the current total firm value of Demo Inc.? O $3,293.70 million $27,773.71 million $23,144.76 million $29,385.37 million Demo Inc.'s debt has a market value of $17,359 million, and Demo Inc. has no preferred stock. If Demo Inc. has 525 million shares of common stock outstanding, what is Demo Inc.'s estimated intrinsic value per share of common stock? $33.06 O $11.02 O $10.02 O $12.12
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