Question: Suppose the risk - free rate is 2 . 9 4 % and an analyst assumes a market risk premium of 5 . 5 2

Suppose the risk-free rate is 2.94% and an analyst assumes a market risk premium of 5.52%. Firm A just paid a dividend of $1.24 per share. The analyst estimates the \beta of Firm A to be 1.34 and estimates the dividend growth rate to be 4.45% forever. Firm A has 274.00 million shares outstanding. Firm B just paid a dividend of $1.56 per share. The analyst estimates the \beta of Firm B to be 0.84 and believes that dividends will grow at 2.68% forever. Firm B has 186.00 million shares outstanding. What is the value of Firm A?
PLease use BA Calculator not excel to do this one

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