Bonza Corporation Generated Free Cash Flow of $88 Million This

Bonza Corporation generated free cash flow of $88 million this year. For the next two years, the company's free cash flow is expected to grow at a rate of 8%. After that time, the company's free cash flow is expected to level off to the industry long-term growth rate of 4% per year. If the weighted average cost of capital is 10% and Bonza Corporation has cash of $100 million, debt of $300 million, and 100 million shares outstanding, what is Bonza Corporation's expected free cash flow in year 2?

A) $95.04
B) $1881.80
C) $102.64
D) $1779.15