Charles Jones is evaluating Reliant Home Furnishings by using a three-stage growth model. He has accumulated the following information:

• Current FCFF = $745 million.

• Outstanding shares = 309.39 million.

• Equity beta = 0.90, risk-free rate = 5.04 percent; equity risk premium = 5.5 percent.

• Cost of debt = 7.1 percent.

• Marginal tax rate = 34 percent.

• Capital structure = 20 percent debt, 80 percent equity.

• Long-term debt = $1.518 billion.

• Growth rate of FCFF =

• 8.8 percent annually in Stage 1, Years 1−4.

• 7.4 percent in Year 5, 6.0 percent in Year 6, 4.6 percent in Year 7.

• 3.2 percent in Year 8 and thereafter.

From the information that Jones has accumulated, estimate the following:

i. WACC.

ii. Total value of the firm.

iii. Total value of equity.

iv. Value per share.