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You have been assigned the task of using the corporate valuation model to estimate Swinnerton Industries intrinsic value. Swinnerton s WACC is 1 0 .

You have been assigned the task of using the corporate valuation model to estimate Swinnerton Industries intrinsic value. Swinnertons WACC is 10.00%, its expected end-of-year free cash flow (FCF1) is $125 million, the FCFs are expected to grow at a constant rate of 5.00% a year in the future, the company has $150 million of long-term debt plus preferred stock, and it has 100 million shares of common stock outstanding. What is the per-share estimate of the stocks intrinsic value?
a. $22.25
b. $23.50
c. $25.00
d. $25.33
e. $26.25

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