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Industrial Bruin Lights is expected to have $33 millions in free cash flows next year. The...

Industrial Bruin Lights is expected to have $33 millions in free cash flows next year. The growth rate of free cash flows is expected to be 14% in the following year, 12% in the year after that, and continue declining by 2% until it reaches 6%, where it is expected to remain indefinitely. The firm has no debt, and there are 6 million shares outstanding. Investors require 15% return on the company stock. The tax rate is 40%. What is your estimate of the current share price?

Select one:

a. $56.46

b. $152.42

c. $40.57

d. $71.56

e. $112.13

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