Ch 09: Homework Problems - Stocks and Their Valuation Back to Assignment Attempts Keep the Highest/2 8. Problem 9.14 (Nonconstant Growth) eBook Problem Walk-Through Computech Corporation is expanding rapidly and currently needs to retain all of its earnings, hence, it does not pay dividends. However, Investors expect Computech to begin paying dividends, beginning with a dividend of $1.75 coming 3 years from today. The dividend should grow rapidly - at a rate of 41% per year during Years 4 and 5, but after Year 5, growth should be a constant 6% per year. If the required return on Computech is 14%, what is the value of the stock today? Do not round intermediate calculations. Round your answer to the nearest cent. Grade it Now Save & Continue Continue without saving