Table 1: Selected Firm, Industry, and Capital Market Data FPC, Inc. issued 10year $1,000par bonds five years ago. They carried a coupon rate of 6%. The coupons were paid annually. Currently the bond is selling for $883.40. The firm's stock price has risen to $21.50 recently. It was $10 when issued. The firm's return on equity (ROE) is 20%, and its dividend payout ratio is 40% . It just paid $1 annual dividend recently. The dividend is expected to grow at a constant rate. Assume the firm is in the 30% (combined) tax bracket. Many specialized consulting firms have a longterm debt to total asset ratio of approximately 40 percent on average. It is considered to be the optimal debt to rm value ratio. Table 2: Free Cash Flows (Thousands of US Dollars} of Maple Aviation Year 1 2 3 4 and thereafter Free Cash Flows 320.00 400.00 480.00 Grow at a constant ('0005 of US$} rate of 6% Table 3: Free Cash Flows (Thousands of US Dollars) of Das Flugzeug Year 1 2 3 and thereafter Free Cash Flow 550.00 720.00 910.00 each year ('0005 of U855) indefinitely