The estimated the company's free cash flows for the following years:
Year Free Cash Flow
1 $3,000
2 4,000
3 5,000
The analyst estimates that after three years, free cash flow will grow at a constant rate of 6% per year. The analyst estimates that the company's WACC is 10%. The company's debt and preferred stock has a total market value of $25,000 and there are 1,000 outstanding shares of common stock. What is the (per-share) intrinsic value of the company's common stock?
a. $ 78.31
b. $ 84.34
c. $ 98.55
d. $109.34
e. $112.50