Question: Suppose the risk - free rate is 2 . 2 4 % and an analyst assumes a market risk premium of 5 . 6 5

Suppose the risk-free rate is 2.24% and an analyst assumes a market risk premium of 5.65%. Firm A just paid a dividend of $1.29 per share. The analyst estimates the \beta of Firm A to be 1.33 and estimates the dividend growth rate to be 4.80% forever. Firm A has 261.00 million shares outstanding. Firm B just paid a dividend of $1.84 per share. The analyst estimates the \beta of Firm B to be 0.75 and believes that dividends will grow at 2.21% forever. Firm B has 181.00 million shares outstanding. What is the value of Firm B?
PLease use BA calculator to do it, not excel

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