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Question 7 7.7 pts It is January 1, 2020. Over the next 12 months, XYZ Corp is expected to generate free cash flows of
Question 7 7.7 pts It is January 1, 2020. Over the next 12 months, XYZ Corp is expected to generate free cash flows of $3,398. For 2 years, this free cash flow is expected to grow at a rate of 9%, beyond which point growth is expected to slow to 4% per year in perpetuity. XYZ Corp has a wacc of 9% and a 20% tax rate. XYZ Corp has $2.946 excess cash, $4,122 debt, $1,645 of preferred stock, and 1,215 shares of common stock outstanding. Assuming cash flows occur at the end of the year, what should be the price per share of XYZ Corp stock today to the nearest cent? DO NOT ROUND INTERMEDIATE CALCULATIONS
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