(Solution) - The financial statements of Lioi Steel Fabricators are shown below -(2025 Original AI-Free Solution)

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The financial statements of Lioi Steel Fabricators are shown below ? both the actual results for 2010 and the projections for 2011. Free cash flow is expected to grow at a 6% rate after 2011. The weighted average cost of capital is 11%.

Income Statements for the Year Ending December 31(Millions of Dollars Except for Per Share Data)

Balance Sheets for December 31 (Millions of Dollars)

a. If operating capital as of 12/31/2010 is $502.2 million, what is the free cash flow for 12/31/2011?
b. What is the horizon value as of 12/31/2011?
c. What is the value of operations as of 12/31/2010?
d. What is the total value of the company as of 12/31/2010?
e. What is the intrinsic price per share for12/31/2010?