Question: Ankh-Sto Associates Co. is expected to generate a free cash flow (FCF) of $2,170.00 million this year (FCFI = $2,170.00 million), and the FCF


Ankh-Sto Associates Co. is expected to generate a free cash flow (FCF) of $2,170.00 million this year (FCFI = $2,170.00 million), and the FCF is expected to grow at a rate of 26.20% over the following two years (FCF2 and FCF3). After the third year, however, the FCF is expected to grow at a constant rate of 4.26% per year, which will last forever (FCF4). If Ankh-Sto Associates Co.'s weighted average cost of capital (WACC) is 12.78%, what is the current total firm value of Ankh-Sto Associates Co.? O $48,778.30 million O $43,162.40 million O $6,486.40 million O $35,968.67 million Ankh-Sto Associates Co.'s debt has a market value of $26,977 million, and Ankh-Sto Associates Co. has no preferred stock. If Ankh-Sto Associates Co. has 600 million shares of common stock outstanding, what is Ankh-Sto Associates Co.'s estimated intrinsic value per share of common stock? O O O O $16.48 $14.99 $44.96 $13.99
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