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your employer, a mid-sized human resources management company, is considering expansion into related fileds, including the acquisition of Temp Force Co. an employment agency that

your employer, a mid-sized human resources management company, is considering expansion into related fileds, including the acquisition of Temp Force Co. an employment agency that supplies word processor operators and computer programmers to business and temporary heavy workloads. Your emplyer is also considering the purchase of a Biggerstaff & Biggerstaff (B&B), a privately held company owned by two brothers, each with 5 million shares of stock. B&B's financial statements report marketable securities of $100 Million, debt of $200 Million, and preferred stock of $50 miliion. B&B's WACC is 11%. Use the B&B's data and free cash flow valuation model to answer the following questions. 1. What is estimated value of operations? 2. What is its estimated total corporate value? 3. What is its intrinsic stock price per share?

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