(Uquest) has the current FCFF of $2 million. Uquests WACC is 10.5%, and its required rate of return for equity is 13%. FCFF is expected to grow at 20% for the next 3 years and then 5% thereafter. Uquest has debt outstanding with book value of $17 million and market value of $5 million. It has 2 million shares outstanding. The current share price on the market is $92. The shares of Uquest are

a.) overvalued, because its equity value per share is only $19.50

b.) fairly valued c.) overvalued, because its equity value per share is only $25.45

d.) undervalued, because its equity value per share is only $25.45