What is market value of equity?

JCF Industries makes aircraft sensors for various defense contractors. Chris Jackson, the CEO, is considering selling the firm to a competitor and has asked his CFO, Alan Franklin, to determine JCF's market value of equity. Chris has given Alan the following data to work with. In 2019, JCF had a free cash flow of $18.25 million. A long-term projection of annual growth of free cash flow and expected cost of capital has also been provided below. Currently JCF has $8.5 million in cash and $32.5 million in total debt. FY2020-FY2025 FY2026-FY2027 FY2028 to perpetuity Growth Rate 5.2% 3.5% 2.5% Cost of Capital 6.25% 5.20% 4.00% Considering this forecast, what is the market value of equity of JCF using the NPV method to calculate the company valuation. Choose the best answer from the choices below. If there is no match chose the answer that most closely approximates your answer. For this question consider FY2020 as Year 1. (NOTE THAT EXCEL WAS USED TO CALCULATE THE ANSWER TO THIS PROBLEM, ALL ANSWERS ROUNDED TO NEAREST MILLION). $1,299 million $1,130 million O $1,137 million O $1,277 million O $1,253 million