1) Smith and T Co. is expected to generate a free cash flow (FCF) of $14,780.00 million this year (FCF = $14,780.00 million), and the FCF is expected to grow at a rate of 23.80% over the following two years (FCF and FCF). After the third year, however, the FCF is expected to grow at a constant rate of 3.54% per year, which will last forever (FCF). Assume the firm has no nonoperating assets. If Smith and T Co.s weighted average cost of capital (WACC) is 10.62%, what is the current total firm value of Smith and T Co.? (Note: Round all intermediate calculations to two decimal places.)

$376,325.17 million

$45,048.62 million

$347,736.05 million

$289,780.04 million

2) Smith and T Co.s debt has a market value of $217,335 million, and Smith and T Co. has no preferred stock. If Smith and T Co. has 150 million shares of common stock outstanding, what is Smith and T Co.s estimated intrinsic value per share of common stock? (Note: Round all intermediate calculations to two decimal places.)

$531.26

$481.97

$482.97

$1,448.90