What is the intrinsic value of the company based on the following information? (1 mark) FCFF mlM1e lest financial year 1.03 Short teen FCFF grtrarth 4,6 Layy ten, FM growth rate 3,6 Cast of putty 516 0 A. 2,060 B. 5,150 X C a 10,400 a None of the above

The shares of ABC Inc.,traded at $65 after its financial statements were published atthe end of year 2021.The balance sheet reported a book value per share (BPS)of$24.50.The income statement reported an earnings per share of(EPS)of$3. A dividendper share(DPS)of $1.50 was distributed for 2021.Analysts are forecasting an EPS of$3.60 for 2022 and$4.80 for 2023.Assume a fixed dividend payout ratio.The requiredreturn of equity is 10 percent.1.Calculate the intrinsic value per share in early 2022 with a forecast that residualearnings will grow at the long-term GDP growth rate of 4% after 2023.(5 marks)2.What is the forecast of the long-term residual earnings growth rate after 2023 that isimplicit in the market price?(4 marks)3.Based on the residual earnings model,calculate the market implied forecast of EPSfor 2024 and 2025.(6 marks)

The intrinsic value of an asset

Assume Stanton Corporation will pay an annual dividend of $3.05 one year from now. Analysts expect this dividend to grow at 13% p.a. thereafter until the third year. After then, growth will level off at 3.4% p.a.. The firm’s equity cost of capital is 10.3% p.a.. What is the intrinsic value of Stanton Corporation? All of these rates are compounded annually. (Round your answer in dollars to 2 decimal places, e.g. put 1204.42 if your answer is 1204.4243.)

The market value of the firm is the result of__________.

Despite being the `true` value of a stock, the intrinsic value cannot be directly derived from a financial institution, broker, or financial intermediaries.Select one:TrueFalse