Question 1 (1 point) Saved The current FCFF is reported as $205 million. The interest expense to the firm is $22 million. If the tax rate is 35% and the net debt of the firm increased by $25 million, what is the total equity value of the firm if the FCFE grows at 2% and the cost of equity is 11%? $2,168 billion $2,445 billion $2,565 billion $2,998 billion Question 2 (2 points) You are analyzing Magic Tree Corp. and have collected the following information about the company: Equity information: Equity beta = 1.4. T-bond rate 2.5%, market risk premium = 7%, # of shares outstanding - 15.5 millions Debt information: Bond YTM 6.5%; Total market value of debt: $1.9 million Tax rate = 21% Capital structure: 40% debt, 60% equity . Current FCFF - $125 million. FCFF is expected to grow at 20%, 15%, and 10% for the next 3 years, then slow down to 5% indefinitely thereafter. What is WACC, Firm Value, Equity Value, and Equity value per share for Tree Corp? (You can solve in Excel, and paste your answer in the answer box) Saved Question 3 (1 point) If a firm has a current FCFF equal to $60 million and that cash flow is expected to grow at 3% forever, what is the total firm value given a WACC of 9.5% and a cost of equity capital of 13%? $923.08 million $618 million $950.78 million $876.4 million