w. Assume that free cash flow is paid at the end inning of year 2023. Because vinyl records are a flow to remain constant at 2023's year-end lev CC is 8.39%. Jimi's Vinyl Records Selected Financial Information 2022 2023

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
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Chapter1: Investments: Background And Issues
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Question
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 (%,$) in your answer.
Transcribed Image Text:The forecast for the free cash flows for Jimi's Vinyl Records for 2023 are provided below. Assume that free cash flow is paid at the end of each year and we are at the beginning of year 2023. Because vinyl records are a niche market, Jimi forecasts his cash flow to remain constant at 2023's year-end level in perpetuity. Jimi Vinyl's WACC is 8.39%. Jimi's Vinyl Records Selected Financial Information 2022 65535 16480 12000 85000 20282 OCF Net Working Capital CAPEX Debt Shares Outstanding 2023 73450 23480 24500 85000 20282 Use this information to find Jimi's Vinyl Records share price as of the beginning of year 2023. Make your answer accurate to cents. That is, if your answer is 9.252, write 9.25. Also, do not include symbols (%,$) in your answer.
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