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TO DO a. Which financial goal is Jeremy focusing on? Explain if this is the correct goal or not. b. Identify and explain any potential

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TO DO a. Which financial goal is Jeremy focusing on? Explain if this is the correct goal or not. b. Identify and explain any potential agency problem that may exist in this firm. c. Calculate the firm's earning per share (EPS), recognizing that the number of issues and paid up shares has not changed since the firm's inception. Comment on the EPS performance referring to your comments in part a. d. Use the financial data presented for 2019 to determine the operating cash flow (OCF) and the free cash flow (FCF) for Epix. Is Jeremy right in believing that Epix is having a cash problem? e. Analyze the firm's financial condition in 2019 as it related to (1) liquidity, (2) activity, (3) debt, (4) profitability, and (5) market, using the data provided in Tables 2,3 , and 5. f. What will be your recommendation to Jeremy regarding hiring the new software developer? Explain with reference to your answer to part a. g. Epix paid $10,000 in dividends in 2019. If a new venture capitalist approached Jeremy and believed that by fully purchasing the company they could receive a cash amount of $10,000 every year in perpetuity, what do you think the investor would be willing to pay for the firm if the required return on this investment is 10% ? h. Let's assume that the FCF generated by Epix in 2019 will continue forever. You, as an investor, are now willing to buy the company in order to receive this perpetual stream of free cash flow. What are you willing to pay if you require a 12% return on your investment? TO DO a. Which financial goal is Jeremy focusing on? Explain if this is the correct goal or not. b. Identify and explain any potential agency problem that may exist in this firm. c. Calculate the firm's earning per share (EPS), recognizing that the number of issues and paid up shares has not changed since the firm's inception. Comment on the EPS performance referring to your comments in part a. d. Use the financial data presented for 2019 to determine the operating cash flow (OCF) and the free cash flow (FCF) for Epix. Is Jeremy right in believing that Epix is having a cash problem? e. Analyze the firm's financial condition in 2019 as it related to (1) liquidity, (2) activity, (3) debt, (4) profitability, and (5) market, using the data provided in Tables 2,3 , and 5. f. What will be your recommendation to Jeremy regarding hiring the new software developer? Explain with reference to your answer to part a. g. Epix paid $10,000 in dividends in 2019. If a new venture capitalist approached Jeremy and believed that by fully purchasing the company they could receive a cash amount of $10,000 every year in perpetuity, what do you think the investor would be willing to pay for the firm if the required return on this investment is 10% ? h. Let's assume that the FCF generated by Epix in 2019 will continue forever. You, as an investor, are now willing to buy the company in order to receive this perpetual stream of free cash flow. What are you willing to pay if you require a 12% return on your investment

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