Stick-It-To-You (SITY) is an educational software company specializing in writing aggravating intermediate corporate finance problems. Its cash flow from assets (or free cash flow) projections for the next three years are $15,000, $18,000, and $22,000 for years 1-3, respectively. After year 3, SITY will continue growing at a constant annual rate of 2.0%. The firm's tax rate is 30% and it will maintain a debt-equity ratio of 0.50. The risk-free rate is 4%, the expected market risk premium is 6%, and the company's equity beta is 1.50. The company's pre-tax cost of debt is 7.5%. Answer the following questions that are each worth 3 points. (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Compute SITY's cost of equity Compute SITY's weighted average cost of capital Compute the terminal value of SITY's FCF in year 3, i.e., the PV of all FCF after year 3 Compute the enterprise value of SITY e. If SITY has net debt (debt minus cash) equal to $50,000, would you buy SITY's equity for $135,000