Analysts forecast YYZ Corp to generate $110 million of free cash flow at the end of the current year. (Assume that cash flows occur on December 31 and today is January 1.) Analysts also expect YYZ's cash flow to grow at 2% in perpetuity. YYZ has no debt and its shareholders require a return of 11.5%. There are 175 million shares outstanding and the shares trade for $6.62. YYZ has announced a stock repurchase. It intends to buy shares at a price of $8 per share. The repurchase will be debt financed. Assume that YYZ is aiming to maintain a debt to value ratio of 40%. The cost of debt is 5.25% and the tax rate is 30%. A) What is the Value of the Levered company? (Select from A, B, C) B) What will the stock price be after the repurchase? (Select from D, E, F) Select 2 correct answers) A) $1240 M B) $1359 M C) $1592 M D) $6.58 repurchase. It intends to buy shares at a price of $8 per share. The repurchase will be debt financed. Assume that YYZ is aiming to maintain a debt to value ratio of 40%. The cost of debt is 5.25% and the tax rate is 30%. A) What is the Value of the Levered company? (Select from A, B, C) B) What will the stock price be after the repurchase? (Select from D, E, F) Select 2 correct answer(s) A) $1240 M B) $1359 M OC) $1592 M D) $6.58 E) $6.62 F) $6.90