10 20 30 40 50 60 7 10 11 12 13 14 15 160 28 29 300 QUESTION 7 Firm Q earned $345m in free cash flow over the last year ending yesterday. Analysts expect the firm's FCF will continue to grow at 3.5% a year into perpetuity. The firm has $1.7 billion in Debt and $400m in cash. The firm's WACC is estimated at 7.3%. The cost of equity is estimated to be 11.0% and the cost of debt is 3,8%. If the firm has 600 million shares outstanding, what is the estimated price for a single share of stock using the discounted cash flow model? O $12.96 O $13.09 $13.49 $12.83 OUESTION 8 00

10 20 30 40 50 60 7 10 11 12 13 14 15 160 28 29 300 QUESTION 7 Firm Q earned $345m in free cash flow over the last year ending yesterday. Analysts expect the firm's FCF will continue to grow at 3.5% a year into perpetuity. The firm has $1.7 billion in Debt and $400m in cash. The firm's WACC is estimated at 7.3%. The cost of equity is estimated to be 11.0% and the cost of debt is 3,8%. If the firm has 600 million shares outstanding, what is the estimated price for a single share of stock using the discounted cash flow model? O $12.96 O $13.09 $13.49 $12.83 OUESTION 8 00

Name: 10203040506071011121314151602829 300QUESTION 7Firm Q earned $345m in
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Description: 10203040506071011121314151602829 300QUESTION 7Firm Q earned $345m in free cash flow over the last year ending yesterday. Analysts expect the firm's FCF will continue togrow at 3.5% a year into perpetuity. The firm has $1.7 billion in Debt and $400m

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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