Sora Industries has 66 million outstanding shares, $123 milion in debt, 546 million in cash, and the following projected the cash flow for the next four years Earnings and FCF Forecast (million) 1 1 Sales 2 Growth vs. Prior Year 3 Cost of Goods Sold 4 Gross Profit 5 Salling General, & Admin Depreciation 7 EBIT 8 Less: Income Tax at 40% 9 Plus: Depreciation 10 Less Capital Expenditures 11 Less: Increase MWC 12 Free Cash Flow Year 2 4 4310 4660 8.1% (3136) 1544 5160 5470 10.3% 5743 60% (3457) 0665) 50% (3348) 1703 1005 1095 (936) (1002) (1094) (1149) (7.0) (15) (90) (95) 53.8 59.6 621 66.2 (215) (218) (248) (261) 70 7.5 00 95 (27) (10.0 (99) (104) 16.3) 253 (8.6) 24.6 (5.6) 30.8 (49) 33.3 a Suppose Sora's revenue and free cash flow are expected to grow at a 4.2% rate beyond year four. If Sora's weighted average cost of captal is 9.0%, what is the value of Sora stock based on this infomatos? b. Sora's cost of goods sold was assumed to be 67% of sales if its cost of goods sold is actually 70% of sales, how would the estimate of the stock's value change? c. Return to the assumptions of part (a) and suppose Sura can maintain its cost of goods sold at 67% of sales. However, the firm reduces its ceiling, general, and administrative expenses from 20% of saim to 15% of sales What stock price would you estimate now? (Assume no other expenses, except taxes, are affected.) d. Sora's net working canital needs we estimated to be 18% of sales their curent level in vear zerol Sora can reduce this reaarement to 12% of sales startro in vear 1 but all other assumptions are as in (a), what stock ano