Using the data for Blaze Corp., calculate Blaze's Intrinsic value per share using FCFE approach assuming...

 

 

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Using the data for Blaze Corp., calculate Blaze's Intrinsic value per share using FCFE approach assuming a constant growth in FCFE. Cash flow from operation was $350m Investment in fixed assets were $325m . ● . ● . . . Net borrowing was $30m The firm pays out 75% of earnings as dividends The net profit margin for the firm was 5%. Total asset turnover was 2 Total assets for the firm was $800m Total liabilities for the firm was $300m The Yield on Treasuries is 3% Blaze's beta is 0.9 The market risk premium is 5% Blaze had 15 Million shares outstanding Using the data for Blaze Corp., calculate Blaze's Intrinsic value per share using FCFE approach assuming a constant growth in FCFE. Cash flow from operation was $350m Investment in fixed assets were $325m . ● . ● . . . Net borrowing was $30m The firm pays out 75% of earnings as dividends The net profit margin for the firm was 5%. Total asset turnover was 2 Total assets for the firm was $800m Total liabilities for the firm was $300m The Yield on Treasuries is 3% Blaze's beta is 0.9 The market risk premium is 5% Blaze had 15 Million shares outstanding

Answer rating: 100% (QA)

To calculate Blaze Corps intrinsic value per share using the Free Cash Flow to Equity FCFE approach we need to follow these steps 1 Calculate Free Cas... View the full answer