BH Corp's free cash flow to equity holders is expected to be $114 million for years 1-3 and is projected to grow at a rate of 2% afterwards. There are 20 million shares of equity outstanding.  What is the predicted price of the stock if the cost of equity is 15%?  Round your answer to two decimal places and enter it without the dollar sign.

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter15: Dividend Policy
Section: Chapter Questions
Problem 15P
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BH Corp's free cash flow to equity holders is expected to be $114 million for years 1-3 and is projected to grow at a rate of 2% afterwards. There are 20 million shares of equity outstanding. 

What is the predicted price of the stock if the cost of equity is 15%?  Round your answer to two decimal places and enter it without the dollar sign.

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