Question: Quantitative Problem 2: Hadley Inc. forecasts the year-end free cash flows (in millions) shown below. Year12345FCF-$22.25$37.8$43.6$51.5$56.6 The weighted average cost of capital is 10%, and

Quantitative Problem 2:Hadley Inc. forecasts the year-end free cash flows (in millions) shown below.

Year12345FCF-$22.25$37.8$43.6$51.5$56.6

The weighted average cost of capital is 10%, and the FCFs are expected to continue growing at a 5% rate after Year 5. The firm has $25 million of market-value debt, but it has no preferred stock or any other outstanding claims. There are 20 million shares outstanding. Also, the firm has zero non-operating assets. What is the value of the stock price today (Year 0)? Round your answer to the nearest cent. Do not round intermediate calculations.

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