Question: *CANNOT USE EXCEL TO SOLVE. CAN USE CALCULATOR FUNCTIONS. PLEASE SHOW ALL STEPS. Q: Burke Technologies is expected to generate $110 million in free cash

*CANNOT USE EXCEL TO SOLVE. CAN USE CALCULATOR FUNCTIONS. PLEASE SHOW ALL STEPS.

Q: Burke Technologies is expected to generate $110 million in free cash flow next year, and FCF is expected to grow at a constant rate of 5 percent per year indefinitely. Burke has no debt or preferred stock, and its weighted-average cost of capital is 8 percent. If Burke has 35 million shares of stock outstanding, what is the stocks value per share?

Q: What would be the expected rate of return on a perpetual preferred stock with a $100 par value, a stated dividend of 12 percent of par, and a current market price of $90?

Q: Sommerfield Mining Companys reserves are being depleted, so its sales are falling. As a result, the companys earnings and dividends are declining at the constant rate of 5 percent per year. If D₀ = $6.00 and r_s = 12%, what is the value of Sommerfield Minings stock?

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