Question: 17. Using the table, what is the appropriate discount rate?* Net Income for Company A 2014: $300,000 2015: $400,000 2016: $600,000 2017: $700,000 2018: $800,000

17. Using the table, what is the appropriate discount rate?*

Net Income for Company A 2014: $300,000 2015: $400,000 2016: $600,000 2017: $700,000 2018: $800,000 Expected growth for all years after 2018: 5% 90-Day T-Bill Rate: 20% Appropriate % above risk-free rate: 12%

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