Siri Had a FCFE of $1

question 5

Multiple Choice

Siri had a FCFE of $1.6M last year and has 3.2M shares outstanding.Siri's required return on equity is 12% and WACC is 9.8%.If FCFE is expected to grow at 9% forever,the intrinsic value of Siri's shares are ____________.

• A)$68.13
• B)$18.17
• C)$26.35
• D)$14.76
• E)none of the above