Question: The table below displays selected financial data for Mayflower, Inc. The firm's cost of equity is 13%, its WACC is 9%, and its tax rate

 The table below displays selected financial data for Mayflower, Inc. The

The table below displays selected financial data for Mayflower, Inc. The firm's cost of equity is 13%, its WACC is 9%, and its tax rate is 35%. Mayflower's FCFF are expected to grow by 6% in year 2 and by 3% indefinitely thereafter. If there are 100,000 shares outstanding, then what is the intrinsic value per share according to the 2-stage FCFF model? Financial Figure Year 0 (Actual) Year 1 (Estimated) EBIT 470.000 500,000 Depreciation 19.000 20.000 Capital Expenditures 22,000 24,000 Net Working Capital 18,000 28.000 Interest Expense 180,000 185,000 Debt 2,500,000 2,575,000 0 $6.93 @ $24.33 $28.26 $39.71 $53.26

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