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Question: smith and t co is expected to generate a free...

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Aa Aa E. 8. More on the corporate valuation model Smith and T Co. is expected to generate a free cash flow (FCF) of $1,315.00 million this year (FCF $1,315.00 1 million), and the FCF is expected to grow at a rate of 22.60% over the following two years (FCF2 and FCF3). After the third year, however, the FCF is expected to grow at a constant rate of 3.18% per year, which will last forever (FCF4). If Smith and T Co.s weighted average cost of capital (WACC) is 9.54%, what is the current total firm value of Smith and T Co.? O $34,133.23 million $28,444.36 million O o $36,113.92 million O $4,047.88 million Smith and T Co.s debt has a market value of $21,333 million, and Smith and T Co. has no preferred stock. If Smith and T Co. has 675 million shares of common stock outstanding, what is Smith and T Co.s estimated intrinsic value per share of common stock? $10.54 O $11.59 $31.61 O $9.54

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