Question: Estimating Share Value Using the DCF Model Following are forecasted sales, NOPAT, and NOA for AT&T for 2019 through 2022 Note: Complete the entire

Estimating Share Value Using the DCF Model Following are forecasted sales, NOPAT,

Estimating Share Value Using the DCF Model Following are forecasted sales, NOPAT, and NOA for AT&T for 2019 through 2022 Note: Complete the entire question in Excel and format each answer to two decimal places. Then enter the answers into the provided spaces below with two decimal places. a. Forecast the terminal period values assuming the following terminal period growth rate. Assumption Terminal period growth rate 2% Reported Forecast Horizon Period Terminal millions 2018 2019 Sales $173,923 NOPAT 24,062 NOA 372,206 2020 2021 2022 $184,168 $195,028 $206,540 $218,743 $ 25.249 26.574 27.979 29,467 394,098 417,554 442,418 468,774 Period 232,474 280,589 498,822 b. Estimate the value of a share of AT&T common stock using the discounted cash flow (DCF) model as of December 31, 2018 using the following assumptions and the information above. Assumptions Discount rate (WACC) 5.70% 7,281.6 million Common shares outstanding Net nonoperating obligations (NNO) $178,322 million Noncontrolling interest $12,962 million

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