Calculate to two decimal points

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A firm's end-of-year free cash flow is anticipated to be $25 million. The firm's free cash flows are expected to grow 6.25 percent a year, forever. The firm's weighted average cost of capital is 11 percent, and the firm has 10 million common stock outstanding shares. If the firm has $30 million in preferred stock and long-term debt, the firm's estimated intrinsic value of its common stock per share is $. Calculate to two decimal points using the following formula: PV = [{FCF / (WACC - g)} - total debt] / common shares

Reference no: EM132554876

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