Question: = Homework: Chap... Question 2, P 10-6 (simil... Part 1 of 2 HW Score: 11.11%, 1 of 9 points O Points: 0 of 1 Save


= Homework: Chap... Question 2, P 10-6 (simil... Part 1 of 2 HW Score: 11.11%, 1 of 9 points O Points: 0 of 1 Save expected to grow at Heavy Metal Corporation is expected to generate the following free cash flows over the next five years: E. Thereafter, the free cash flows the industry average of 4.4% per year. Using the discounted free cash flow model and a weighted average cost of capital of 14.3% a. Estimate the enterprise value of Heavy Metal. b. If Heavy Metal has no excess cash, debt of $300 million, and 35 million shares outstanding, estimate its share price. a. Estimate the enterprise value of Heavy Metal. The enterprise value will be $ million. (Round to two decimal places.) Data Table (Click on the following icon in order to copy its contents into a spreadsheet.) Year 1 2 3 4 5 FCF ($ million) 52.7 68.3 77.5 74.9 80.7 Print Done
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