Question: Given is the data for year 1: Profits after tax= $12 million; Depreciation= $6 million; Interest Expense= $6 million; Investment in Fixed Assets= $12 million;

Given is the data for year 1:

Profits after tax= $12 million; Depreciation= $6 million; Interest Expense= $6 million; Investment in Fixed Assets= $12 million; Investment in Work Capital= $3 million. Corporate tax rate is 19%. Assume free cash flow grows at a rate of 5% for year 2 and 3, and then it grows at a rate of 3% from year 4 and beyond. The WACC is 9%. If the company has $20 million debt and 1 million shares outstanding, what is the value per share?

A. $113.33

B. $115.72

C.$120.54

D. $140.03

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