The momi corporation’s cash flow from operations before interest and taxes was $1.9 million in the year just ended, and it expects that this will grow by 5% per year forever. to make this happen, the firm will have to invest an amount equal to 19% of pretax cash flow each year. the tax rate is 21%. depreciation was $250,000 in the year just ended and is expected to grow at the same rate as the operating cash flow. the appropriate market capitalization rate for the unleveraged cash flow is 12% per year, and the firm currently has debt of $5 million outstanding. use the free cash flow approach to calculate the value of the firm and the firm’s equity. (enter your answer in dollars not in millions.)

1. alwaysrain irrigation, inc. would like to determine capacity requirements for the next four years. currently, two production lines are in place for making bronze and plastic sprinklers. three types of sprinklers are available in both bronze and plastic: 90-degree nozzle sprinklers, 180-degree nozzle sprinklers, and 360-degree nozzle sprinklers. management has forecast demand for the next four years as follows: both production lines can produce all the different types of nozzles. the bronze machines needed for the bronze sprinklers require two operators and can produce up to 12,000 sprinklers. the plastic injection molding machine needed for the plastic sprinklers requires four operators and can produce up to 200,000 sprinklers. three bronze machines and only one injection molding machine are available. what are the capacity requirements for the next four years? (assume that there is no learning.)