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Q 3 . XYZ company earned $ 1 . 5 0 per share last year. Investment in fixed capital ( Capex ) was $ 0

Q3. XYZ company earned $1.50 per share last year. Investment in fixed capital (Capex) was $0.80 per share, and deprecation was $0.30. Investment in net working capital was $0.20 per share. XYZ expects earnings, investments in fixed capital (capex), deprecation, and networking capital to grow at 15% per year for the next five years, and after that, the growth in earnings, investments in fixed capital(capex), deprecation, and networking capital will decline to a stable 5% per year forever. Calculate the FCFE in year 6.(Hint: FCFE = Net Income +Depreciation- Capex Net working capital)
(10 points)

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