Homework Answers
| WACC= | 12.00% | ||||||
| Year | Previous year FCF | FCF growth rate | FCF current year | Terminal value | |||
| 1 | 0 | 0.00% | -24 | ||||
| 2 | -24 | 0.00% | 33 | ||||
| 3 | 33 | 0.00% | 44 | 941.6 | |||
| Long term growth rate (given)= | 7.00% | ||||||
| Where | |||||||
| Terminal value = FCF current year 3 *(1+long term growth rate)/( WACC-long term growth rate) | |||||||
Add Answer to:
Shaq Fu Corporation is a fast-growing supplier of office products. Analysts project the following free cash...
Shaq Fu Corporation is a fast-growing supplier of office products. Analysts project the following free cash...
Shaq Fu Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows during the next 3 years, after which FCF is expected to grow at a constant 7.00% rate. Shaq Fu's cost of capital is 12.00%. Shaq Fu has 10.00 million shares outstanding, and carries 124.00 million in debt. YEAR FCF 1 2 3 -$24.00 $33.00 $44.00 (All Free cash flows above are expressed in millions of dollars) What is the value of the firm...
Shaq Fu Corporation is a fast-growing supplier of office products. Analysts project the following free cash...
Shaq Fu Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows during the next 3 years, after which FCF is expected to grow at a constant 7.00% rate. Shaq Fu's cost of capital is 12.00%. Shaq Fu has 10.00 million shares outstanding, and carries 124.00 million in debt. YEAR 1 2 -$24.00 $33.00 $44.00 FCF (All Free cash flows above are expressed in millions of dollars) Based on the number of shares and debt...
Shaq Fu Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows durin...
Shaq Fu Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows during the next 3 years, after which FCF is expected to grow at a constant 5.00% rate. Shaq Fu's cost of capital is 11.00%. Shaq Fu has 9.00 million shares outstanding, and carries 86.00 million in debt. YEAR FCF -$24.00 $40.00 $35.00 (All Free cash flows above are expressed in millions of dollars) What is the terminal value at year 3? Submit Answer...
A) What is the terminal value at year 3? B) What is the value of the...
A) What is the terminal value at year 3?
B) What is the value of the firm today? (in millions)
C) Based on the number of shares and debt position of Shaq Fu,
what is their equity value per share?
Shaq Fu Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows during the next 3 years, after which FCF is expected to grow at a constant 5.00% rate. Shaq Fu's cost of capital is...
Dozier Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows(FCFs)...
Dozier Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows(FCFs) during the next 4 years, after which FCF is expected to grow at a constant 8% rate. Dozier's weighted average cost of capital is WACC = 17%. Year Free cash flow($ millions) 1 -$400 2 $500 3 $700 4 $900 Suppose Dozier has $500 million in marketable securities, $1,500 million in debt, and 80 million shares of stock. What is the intrinsic price per...
3. ABC Corporation is a fast-growing supplier of office products. Analysts project the following free cash...
3. ABC Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows (FCFS) in the first year is $20 million and FCF is expected to grow at a constant 7% rate after year 1. ABC's WACC is 12%. Suppose ABC has $12 million in marketable securities, $100 million in debt, 50 mission in preferred stocks, and 10 million shares of stock. What is the stock intrinsic price per share? (15 pts)
Dantzler Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows...
Dantzler Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows (FCFS) during the next 3 years, after which FCF is expected to grow at a constant 8% rate. Dantzler's WACC is 10%. Year 3 FCF ($ millions) - $15 $33 $43 a. What is Dantzler's horizon, or continuing, value? (Hint: Find the value of all free cash flows beyond Year 3 discounted back to Year 3.) Round your answer to two decimal places. Enter...
Dozier Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows...
Dozier Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows (FCFs) during the next 3 years, after which FCF is expected to grow at a constant 7% rate. Dozier's WACC is 12%. Year 0 1 2 3 ....... ....... ....... ....... ....... ....... ....... ....... FCF ($ millions) ....... ....... ....... ....... ....... ....... ....... ...... NA - 13 22 53 What is Dozier's horizon, or continuing, value? (Hint: Find the value of all...
Dantzler Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows...
Dantzler Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows (FCFS) during the next 3 years, after which FCF is expected to grow at a constant 8% rate. Dantzler's WACC is 10%. Year 2 FCF ($ millions) - $21 $ 10 $45 a. What is Dantzler's horizon, or continuing, value? (Hint: Find the value of all free cash flows beyond Year 3 discounted back to Year 3.) Round your answer to two decimal places....
Dantzler Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows...
Dantzler Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows (FCFs) during the next 3 years, after which FCF is expected to grow at a constant 7% rate. Dantzler's WACC is 10%. Year 0 1 2 3 ....... ....... ....... ....... ....... ....... ....... ....... FCF ($ millions) ....... ....... ....... ....... ....... ....... ....... ...... NA - $20 $17 $48 What is Dantzler's horizon, or continuing, value? (Hint: Find the value of all...
Shaq Fu Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows during the next 3 years, after which FCF is expected to grow at a constant 7.00% rate. Shaq Fu's cost of capital is 12.00%. Shaq Fu has 10.00 million shares outstanding, and carries 124.00 million in debt. YEAR FCF 1 2 3 -$24.00 $33.00 $44.00 (All Free cash flows above are expressed in millions of dollars) What is the value of the firm...
Shaq Fu Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows during the next 3 years, after which FCF is expected to grow at a constant 7.00% rate. Shaq Fu's cost of capital is 12.00%. Shaq Fu has 10.00 million shares outstanding, and carries 124.00 million in debt. YEAR 1 2 -$24.00 $33.00 $44.00 FCF (All Free cash flows above are expressed in millions of dollars) Based on the number of shares and debt...
Shaq Fu Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows during the next 3 years, after which FCF is expected to grow at a constant 5.00% rate. Shaq Fu's cost of capital is 11.00%. Shaq Fu has 9.00 million shares outstanding, and carries 86.00 million in debt. YEAR FCF -$24.00 $40.00 $35.00 (All Free cash flows above are expressed in millions of dollars) What is the terminal value at year 3? Submit Answer...
A) What is the terminal value at year 3?
B) What is the value of the firm today? (in millions)
C) Based on the number of shares and debt position of Shaq Fu,
what is their equity value per share?
Shaq Fu Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows during the next 3 years, after which FCF is expected to grow at a constant 5.00% rate. Shaq Fu's cost of capital is...
3. ABC Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows (FCFS) in the first year is $20 million and FCF is expected to grow at a constant 7% rate after year 1. ABC's WACC is 12%. Suppose ABC has $12 million in marketable securities, $100 million in debt, 50 mission in preferred stocks, and 10 million shares of stock. What is the stock intrinsic price per share? (15 pts)
Dantzler Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows (FCFS) during the next 3 years, after which FCF is expected to grow at a constant 8% rate. Dantzler's WACC is 10%. Year 3 FCF ($ millions) - $15 $33 $43 a. What is Dantzler's horizon, or continuing, value? (Hint: Find the value of all free cash flows beyond Year 3 discounted back to Year 3.) Round your answer to two decimal places. Enter...
Dantzler Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows (FCFS) during the next 3 years, after which FCF is expected to grow at a constant 8% rate. Dantzler's WACC is 10%. Year 2 FCF ($ millions) - $21 $ 10 $45 a. What is Dantzler's horizon, or continuing, value? (Hint: Find the value of all free cash flows beyond Year 3 discounted back to Year 3.) Round your answer to two decimal places....
Most questions answered within 3 hours.
-
During Heaton Company’s first two years of operations, it
reported absorption costing net operating income as...
asked 10 minutes ago -
Consider testing the
hypotheses:
H0: p = 0.56
H1: p > 0.56
where p is
the...
asked 13 minutes ago -
In a two-factor analysis of variance a main effect is defined as
____.
a. the unique...
asked 21 minutes ago -
A bank's loan officer rates applicants for credit. The ratings
are normally distributed with a mean...
asked 21 minutes ago -
Fill in the following information for Adipic Acid: molecular
weight, g or ml, mole, melting point,...
asked 26 minutes ago -
how
to use a for loop to iterate over the string below and print each
character...
asked 28 minutes ago -
Please type answer, Thanks.
Respond to the following in a minimum of 175
words:
Research industry...
asked 28 minutes ago -
Assume that all interest rates in the economy increase from 9
percent to 10 percent. Which...
asked 38 minutes ago -
Describe the function of a Change Control Board.
When calculating Planned Value (PV), what is the...
asked 44 minutes ago -
The customer help center in your company receives calls from
customers who need help with some...
asked 55 minutes ago -
A manufacturer wished to compare the wearing qualities of two
different types of automobile tires, A...
asked 53 minutes ago -
Write a MATLAB script file that will sum all the positive
entries in V and stop...
asked 1 hour ago