Question
In: Finance
Pearl Corp. is expected to have an EBIT of $3,200,000 next year. Depreciation, the increase in...
|
Pearl Corp. is expected to have an EBIT of $3,200,000 next year. Depreciation, the increase in net working capital, and capital spending are expected to be $160,000, $145,000, and $185,000, respectively. All are expected to grow at 16 percent per year for four years. The company currently has $16,500,000 in debt and 1,150,000 shares outstanding. After Year 5, the adjusted cash flow from assets is expected to grow at 3 percent indefinitely. The company’s WACC is 8.8 percent and the tax rate is 24 percent. |
|
What is the price per share of the company's stock? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) |
Please show formulas for excel. Thanks!
Solutions
jeff jeffy answered 1 year agoRelated Solutions
Dewey Corp. is expected to have an EBIT of $3,200,000 next year. Depreciation, the increase in...
Dewey Corp. is expected to have an EBIT of $3,200,000 next year.
Depreciation, the increase in net working capital, and capital
spending are expected to be $255,000, $160,000, and $260,000,
respectively. All are expected to grow at 17 percent per year for
four years. The company currently has $20,500,000 in debt and
870,000 shares outstanding. After Year 5, the adjusted cash flow
from assets is expected to grow at 2.4 percent indefinitely. The
company’s WACC is 8.7 percent and the...
Pearl Corp. is expected to have an EBIT of $3,400,000 next year. Depreciation, the increase in...
Pearl Corp. is expected to have an EBIT of $3,400,000 next year.
Depreciation, the increase in net working capital, and capital
spending are expected to be $160,000, $155,000, and $195,000,
respectively. All are expected to grow at 18 percent per year for
four years. The company currently has $17,500,000 in debt and
1,350,000 shares outstanding. At Year 5, you believe that the
company's sales will be $27,030,000 and the appropriate price-sales
ratio is 2.6. The company’s WACC is 9.1 percent...
Pearl Corp. is expected to have an EBIT of $2,300,000 next year. Depreciation, the increase in...
Pearl Corp. is expected to have an EBIT of $2,300,000 next year.
Depreciation, the increase in net working capital, and capital
spending are expected to be $160,000, $100,000, and $140,000,
respectively. All are expected to grow at 19 percent per year for
four years. The company currently has $12,000,000 in debt and
1,000,000 shares outstanding. After Year 5, the adjusted cash flow
from assets is expected to grow at 3 percent indefinitely. The
company’s WACC is 8.8 percent and the...
Pearl Corp. is expected to have an EBIT of $2,500,000 next year. Depreciation, the increase in...
Pearl Corp. is expected to have an EBIT of $2,500,000 next year.
Depreciation, the increase in net working capital, and capital
spending are expected to be $160,000, $110,000, and $150,000,
respectively. All are expected to grow at 15 percent per year for
four years. The company currently has $13,000,000 in debt and
850,000 shares outstanding. At Year 5, you believe that the
company's sales will be $17,930,000 and the appropriate price-sales
ratio is 2.7. The company’s WACC is 9.1 percent...
Pearl Corp. is expected to have an EBIT of $3,000,000 next year. Depreciation, the increase in...
Pearl Corp. is expected to have an EBIT of $3,000,000 next year.
Depreciation, the increase in net working capital, and capital
spending are expected to be $160,000, $135,000, and $175,000,
respectively. All are expected to grow at 20 percent per year for
four years. The company currently has $15,500,000 in debt and
1,350,000 shares outstanding. After Year 5, the adjusted cash flow
from assets is expected to grow at 3.5 percent indefinitely. The
company’s WACC is 8.6 percent and the...
Pearl Corp. is expected to have an EBIT of $2,600,000 next year. Depreciation, the increase in...
Pearl Corp. is expected to have an EBIT of $2,600,000 next year.
Depreciation, the increase in net working capital, and capital
spending are expected to be $160,000, $115,000, and $155,000,
respectively. All are expected to grow at 16 percent per year for
four years. The company currently has $13,500,000 in debt and
1,150,000 shares outstanding. After Year 5, the adjusted cash flow
from assets is expected to grow at 3 percent indefinitely. The
company’s WACC is 9.2 percent and the...
Pearl Corp. is expected to have an EBIT of $2,400,000 next year. Depreciation, the increase in...
Pearl Corp. is expected to have an EBIT of $2,400,000 next year.
Depreciation, the increase in net working capital, and capital
spending are expected to be $160,000, $105,000, and $145,000,
respectively. All are expected to grow at 20 percent per year for
four years. The company currently has $12,500,000 in debt and
1,050,000 shares outstanding. After Year 5, the adjusted cash flow
from assets is expected to grow at 3.5 percent indefinitely. The
company’s WACC is 8.9 percent and the...
Pearl Corp. is expected to have an EBIT of $3,500,000 next year. Depreciation, the increase in...
Pearl Corp. is expected to have an EBIT of $3,500,000 next year.
Depreciation, the increase in net working capital, and capital
spending are expected to be $160,000, $160,000, and $200,000,
respectively. All are expected to grow at 19 percent per year for
four years. The company currently has $18,000,000 in debt and
1,600,000 shares outstanding. After Year 5, the adjusted cash flow
from assets is expected to grow at 3 percent indefinitely. The
company’s WACC is 9.2 percent and the...
Pearl Corp. is expected to have an EBIT of $3,400,000 next year. Depreciation, the increase in...
Pearl Corp. is expected to have an EBIT of $3,400,000 next year.
Depreciation, the increase in net working capital, and capital
spending are expected to be $160,000, $155,000, and $195,000,
respectively. All are expected to grow at 18 percent per year for
four years. The company currently has $17,500,000 in debt and
1,350,000 shares outstanding. At Year 5, you believe that the
company's sales will be $27,030,000 and the appropriate price-sales
ratio is 2.6. The company’s WACC is 9.1 percent...
Pearl Corp. is expected to have an EBIT of $3,300,000 next year. Depreciation, the increase in...
Pearl Corp. is expected to have an EBIT of $3,300,000 next year.
Depreciation, the increase in net working capital, and capital
spending are expected to be $160,000, $150,000, and $190,000,
respectively. All are expected to grow at 17 percent per year for
four years. The company currently has $17,000,000 in debt and
1,500,000 shares outstanding. At Year 5, you believe that the
company's sales will be $25,350,000 and the appropriate price-sales
ratio is 2.5. The company’s WACC is 8.9 percent...
ADVERTISEMENT
ADVERTISEMENT
Latest Questions
- You have invested 30 percent of your portfolio in Jacob, Inc., 40 percent is Bella Co.,...
- Parallel Arrays This question is in MindTap Cengage Summary In this lab, you use what you...
- 5. You have invested 30 percent of your portfolio in Jacob, Inc., 40 percent is Bella...
- JAVA Write a test program that prompts the user to enter a series of integers and...
- (2) Cite an example on how organizations like Google, Facebook, Youtube etc collect data for image...
- The legal landscape is perpetually changing. Psychologists must remain abreast of these changes to avoid potentially...
- We are evaluating a project that costs $1.68 million, has a six-year life, and has no...
ADVERTISEMENT