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The corporate valuation model, the price-to-earnings (P/E) multiple approach, and the economic value added (EVA) approach are some examples of valuation techniques. The corporate valuation

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The corporate valuation model, the price-to-earnings (P/E) multiple approach, and the economic value added (EVA) approach are some examples of valuation techniques. The corporate valuation model is similar to the dividend-based valuation that you've done in previous problems, but it focuses on a firm's free cash flows (FCFs) instead of its dividends. Some firms don't pay dividends, or their dividends are difficult to forecast. For that reason, some analysts use the corporate valuation model. Spandust Industries Inc. has an expected net operating profit after taxes, EBIT(1-T), of $14,600 million in the coming year. In addition, the firm is expected to hove net capital expenditures of $2,190 million, and net operating working capital (NOWC) is expected to increase by $10 million. How much free cash flow (FCF) is Spandust Industries Inc, expected to generate over the next year? $12,420 million $12,400 miltion $16,780 milition $297,740 million Spandust Industries Inc:'s FCFs are expected to grow at a constant rate of 3.54% per year in the future. The market value of 5 pandust Industries Inci's outstanding debt is $78,814 milion, and its preferred stocks' value is $43,785 million. Spandust Industries Inc; has 150 million shares of common stock outstanding, and its weighted average cost of capital (WACC) equals 10.62%. 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

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