Assume that a company had sales per share of $18.90 at the end of 2023. Sales are expected to grow
by 6% per year for the next five years. After that, the company is expected to grow 4% into perpetuity.
The company has a profit margin of 10% and a return on equity of 8%. The cost of equity is estimated
at 8 % .
a) Use the Free Cash Flow to Equity (FCFE) model to value the company's stock.