Question: Could you please help with this specifically C, can you show how you did it too. Phoenix Corporation faltered during the Covid pandemic but is
Could you please help with this specifically C, can you show how you did it too.
Phoenix Corporation faltered during the Covid pandemic but is recovering. Free cash flow has grown rapidly. Forecasts made in 2021 are as follows: Phoenix's recovery will be complete by 2026 , and there will be no further growth in net income or free cash flow. a. Calculate the PV of free cash flow, assuming a cost of equity of 9%. b. Assume that Phoenix has 12 million shares outstanding. What is the price per share? c. Calculate the expected rate of return on Phoenix stock in each of the years from 2022 to 2026
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