* Please show your calculations*

A CEO is worried that his company is misvalued by the market.

Based on extensive research, they determined the following:

* Free Cash flow to the firm will be 2,500 for 2022, will grow by 15% in 2023, and then 5% per year subsequently, as the firm enters a steady state.

* The firm's WACC is 8%.

Additional Information

Revenue ($)	15,000
EBITDA ($)	3,000
Net Income ($)	1,250
Market value of equity ($)	100,000
Market value of debt ($)	20,000
Number of Shares outstanding	2,000
P/E Ratio	80
Enterprise value-to-EBITDA (EV/EBITDA) Ratio	40

Assuming the Information above is correct, is the CEOs company STOCK:

a. Neither under nor Over-valued

b. Under-Valued

c. Over-valued