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Business, 29.03.2021 20:50 sophie5064

Atchley Corporation's last free cash flow was $1.55 million. The free cash flow growth rate is expected to be constant at 1.5% for 2 years, after which free cash flows are expected to grow at a rate of 8.0% forever. The firm's weighted average cost of capital (WACC) is 12.0%. Atchley has $2 million in short-term investments and $14 million in debt and 1 million shares outstanding. What is the best estimate of the intrinsic stock price? a. $28.48 b. $26.16 c. $25.05 d. $27.30 e. $29.70

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