please answer both questions thank you QUESTION 7 ABC corp. is projected to generate...
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please answer both questions thank you
QUESTION 7 ABC corp. is projected to generate $105 mil FCF 10 years from now at the end of tenth year in projection period --terminal year.). Thereafter, the expected perpetual growth rate is 3%. Given a WACC of 8%, What is the Present Value of Terminal Value for ABC corp based on "Mid-year convention method"? O a. 5867 mil. O b. $2,269 mil. O c. $1,041 mil. O d. $1,425 mil. O e. $2,045 mil. QUESTION 8 The PetShop (PS) has sales of $398,600, costs of $254,800, depreciation expense of $26,400, account receivable (A/R) balance of $95,000, account payable balance of $55,000, interest expense of S1,600, and a tax rate of 34 percent. If PS has net Income of $76,428, and incurs no additional cost other than pure production cost, how long on average does it take the company to collect account receivables during the year? O a. 100 days O b.64 days O c. 87 days O d. 115 days O e. 30 days
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