Dantzler Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows (FCFs) during the next 3 years, after which the FCF is expected to grow at a constant 5% rate. Dantzler's WACC is 11%. Year 1 FCF= -$11 Year 2 FCF= $17 Year 3 FCF= $45. a) What is Dantzler's horizon, or continuing value? b) What is the firm's market value today? Assume that Dantzler has zero non-operating assets. c) Suppose Dantzler has $112.60 of debt and 25 shares of stock outstanding. What is your estimate of the current price per share?

Q: Dantzler Corporation is a fast-growing supplier of office products. Analysts project the following…

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A: a)The below expression can be used to calculate horizon value:

Q: 11) see picture

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A:

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