Seashore Corp. estimates their future free cash flows as followed: Year 1: $10,000; Year 2: $11,600; Year 3: $12,000; and they expect a 5% growth rate beyond year 3. If the required rate of return is 14%:

26) What is their terminal value in Year 3?

A.) $140,000

B.) $133,333

C.) $152,000

D.) $120,293

What is a fair stock price per share of Seashore Corp. if they have $57,000 in debt and 2,400 shares outstanding?

A.) $41.93

B.) $34.58

C.) $26.37

D.) $19.22

If a seashore employee started to contribute to her 401k retirement account. She determines to deposit $200 every month and the retirement fund earns 9% APR. How much will she have in her retirement account in 40 years from now?

A.) $936,264

B.) $597,288

C.) $720,262

D.) $259,281