The following is a four-year forecast for Torino Marine. Year Free cash flow ($ millions) a. Fair market value b. Fair market value per share 2022 -61 $ a. Estimate the fair market value of Torino Marine at the end of 2021. Assume that after 2025, earnings before interest and tax will remain constant at $200 million, depreciation will equal capital expenditures in each year, and working capital will not change. Torino Marine's weighted-average cost of capital is 15 percent and its tax rate is 30 percent. Note: Do not round intermediate calculations. Enter your answer in millions rounded to 1 decimal place. 6.89 2023 82 b. Estimate the fair market value per share of Torino Marine's equity at the end of 2021 if the company has 46 million shares outstanding and the market value of its interest-bearing liabilities on the valuation date equals $360 million. Note: Do not round intermediate calculations. Round your answer to 2 decimal places. 2024 99 million 2025 121

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The following is a four-year forecast for Torino Marine. Year 2022 2023 2024 2025 Free cash flow ($ millions) −52 73 90 112 Estimate the fair market value of Torino Marine at the end of 2021. Assume that after 2025, earnings before interest and tax will remain constant at $200 million, depreciation will equal capital expenditures in each year, and working capital will not change. Torino Marine’s weighted-average cost of capital is 10 percent and its tax rate is 30 percent. Note: Do not round intermediate calculations. Enter your answer in millions rounded to 1 decimal place. Estimate the fair market value per share of Torino Marine’s equity at the end of 2021 if the company has 37 million shares outstanding and the market value of its interest-bearing liabilities on the valuation date equals $270 million. Note: Do not round intermediate calculations. Round your answer to 2 decimal places.

The following is a four-year forecast for Torino Marine. Year 2022 2023 2024 2025 Free cash flow ($ millions) −60 81 98 120 Estimate the fair market value of Torino Marine at the end of 2021. Assume that after 2025, earnings before interest and tax will remain constant at $200 million, depreciation will equal capital expenditures in each year, and working capital will not change. Torino Marine’s weighted-average cost of capital is 13 percent and its tax rate is 20 percent. Note: Do not round intermediate calculations. Enter your answer in millions rounded to 1 decimal place. Estimate the fair market value per share of Torino Marine’s equity at the end of 2021 if the company has 45 million shares outstanding and the market value of its interest-bearing liabilities on the valuation date equals $350 million. Note: Do not round intermediate calculations. Round your answer to 2 decimal places.                                                   I have the second question right…

What is the adjusted cash flow from asset in 2018?    What is the predicted adjusted cash flow from asset in 2019?

Assume today is December 31, 2019. Barrington Industries expects that its 2020 after-tax operating income [EBIT(1 – T)] will be $420 million and its 2020 depreciation expense will be $70 million. Barrington's 2020 gross capital expenditures are expected to be $100 million and the change in its net operating working capital for 2020 will be $30 million. The firm's free cash flow is expected to grow at a constant rate of 5% annually. Assume that its free cash flow occurs at the end of each year. The firm's weighted average cost of capital is 8.8%; the market value of the company's debt is $2.15 billion; and the company has 190 million shares of common stock outstanding. The firm has no preferred stock on its balance sheet and has no plans to use it for future capital budgeting projects. Also, the firm has zero non-operating assets. Using the corporate valuation model, what should be the company's stock price today (December 31, 2019)? Do not round intermediate calculations. Round your…

A firm after -tax operating income ( after-tax EBIT)$90,000 in 2018. The value of depreciation is $8000 in 2018. Operating working capital increased by $20,000, and the firm purchased $30,000 of assets. The firm's free cash flow is Given the rate information in the table belowCan you calculate the maturity risk premium? 3 month T-bill = 2.5% (risk-free rate), 30 years Bonds-5.0%, 30year corporate bonds 7.0% Inflation Rate- 3.6% and the liquidity risk premium is 0.03%

Perez Company is considering an investment of $20,957 that provides net cash flows of $6,900 annually for four years. (a) What is the internal rate of return of this investment? (PV of $1, FV of $1, PVA of $1, and FVA of $1) Note: Use appropriate factor(s) from the tables provided. Round your present value factor to 4 decimals. (b) The hurdle rate is 9%. Should the company invest in this project on the basis of internal rate of return? Complete this question by entering your answers in the tabs below. Required A Required B What is the internal rate of return of this investment? Present value factor Internal rate of return % Required A Required B

The forecast for the free cash flows for Jimi's Vinyl Records for 2023 are provided below. Assume that free cash flow is paid at the end of each year and we are at the beginning of year 2023. Because vinyl records are a niche market, Jimi forecasts his cash flow to remain constant at 2023's year-end level in perpetuity. Jimi Vinyl's WACC is 8.39%. Jimi's Vinyl Records Selected Financial Information 2022 65535 16480 12000 85000 20282 OCF Net Working Capital CAPEX Debt Shares Outstanding 2023 73450 23480 24500 85000 20282 Use this information to find Jimi's Vinyl Records share price as of the beginning of year 2023. Make your answer accurate to cents. That is, if your answer is 9.252, write 9.25. Also, do not include symbols (%,$) in your answer.

Park Company is considering an investment of $31,500 that provides net cash flows of $13,200 annually for four years. What is the investment's payback period? Numerator: 1 1 Payback Period Denominator: II II = II = Payback Period Payback period 0