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The financial statements of Lioi Steel Fabricators are shown below-both the actual results for 2010 and the projections for 2011. Free cash flow is expected to grow at a 6% rate after 2011. The weighted average cost of capital is 11%.

a.If operating capital as of 12/31/2010 is $502.2 million, what is the free cash flow for 12/31/2011?
b.What is the horizon value as of 12/31/2011?
c.What is the value of operations as of 12/31/2010?
d.What is the total value of the company as of 12/31/2010?
e.What is the intrinsic price per share for 12/31/2010?

 

Basic Finance, Finance

  • Category:- Basic Finance
  • Reference No.:- M9867808

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