Question: 14. Chapter MC, Section .07, Problem 027 Decker Tires' free cash flow was just FCF = $1.32. Analysts expect the company's free cash flow to

 14. Chapter MC, Section .07, Problem 027 Decker Tires' free cash

14. Chapter MC, Section .07, Problem 027 Decker Tires' free cash flow was just FCF = $1.32. Analysts expect the company's free cash flow to grow by 30% this year, by 10% in Year 2, and at a constant rate of 5% in Year 3 and thereafter. The WACC for this company 9.00%. Decker has $4 million in short-term Investments and $14 million in debt and 1 million shares outstanding. What is the best estimate of the stock's current intrinsic price? Oa. $34.87 Ob. $32.65 Oc. $35.99 Od. $31.59 Oe. $33.75

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