Question: please help answer these questions. will upvote Bil's Bakery has current earnings per share of $2.26. Current book value is $4.00 per share. The appropriate


Bil's Bakery has current earnings per share of $2.26. Current book value is $4.00 per share. The appropriate discount rate for Bill's Bakery is 14 percent. Calculate the share price for Biil's Bakery if earnings grow at 3.2 percent forever, (Do not round intermediate calculations. Round your answer to 2 decimal places.) You are going to value Lauryn's Doll Co. using the FCF model. After consulting various sources, you find that Lauryn's has a reported equity beta of 1.5, a debt-to-equity ratio of 7 , and a tax rate of 21 percent. Assume a risk-free rate of 5 percent and a market risk premium of 10 percent. Lauryn's. Doll Co. had EBIT last year of $49 million, which is net of a depreciation expense of $4.9 million. In addition, Lauryn's made $4.5 million in capital expenditures and increased net working capital by $2.2 million. Assume the FCF is expected to grow at a rate of 2 percent into perpetuity. What is the value of the firm? (Do not round intermediate calculations. Enter your answer in millions rounded to 2 decimal places.) Given the information below for Seger Corporation, compute the expected share price at the end of 2020 using price ratio analysis. Assume that the historical (arithmetic) average growth rates will remain the same for 2020 . (Do not round intermediate calculations. Round your answers to 2 decimal places.)
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