Sally Rubber Co. has an expected net operating profit after taxes, EBIT(1 T), of $16,500 million in the coming year. In addition, the firm is expected to have net capital expenditures of $2,475 million, and net operating working capital (NOWC) is expected to increase by $45 million. How much free cash flow (FCF) is Sally Rubber Co. expected to generate over the next year?

$18,930 million

$13,980 million

$238,614 million

$14,070 million

Sally Rubber Co.s FCFs are expected to grow at a constant rate of 4.98% per year in the future. The market value of Sally Rubber Co.s outstanding debt is $63,163 million, and its preferred stocks value is $35,090 million. Sally Rubber Co. has 675 million shares of common stock outstanding, and its weighted average cost of capital (WACC) equals 14.94%.

Term	Value (Millions)
Total firm value
Intrinsic value of common equity
Intrinsic value per share

Using the preceding information and the FCF you calculated in the previous question, calculate the appropriate values in this table. Assume the firm has no nonoperating assets.