Question: O Spreadsheet_18.01 Home Insert Draw Page Layout Formulas Data Review View Calibri (Body) ED 11 AY General Paste B I U A $ 7 %

O Spreadsheet_18.01 Home Insert Draw Page LayoutO Spreadsheet_18.01 Home Insert Draw Page Layout
O Spreadsheet_18.01 Home Insert Draw Page Layout Formulas Data Review View Calibri (Body) ED 11 AY General Paste B I U A $ 7 % C6 X V fx A B C D E F G H Inputs for GE Year Dividend Div growth Term value Investor CF NH beta 1.9 2019 3.12 3.12 3 mkt_prem 0.08 2020 3.3 3.38 4 r 0.029 2021 3.64 3.64 5 k_equity 0.1810 2022 3.90 3.90 6 term_gwth 0.070 2023 4.19 0.0740 4.19 2024 1.50 0.0736 4.50 8 2025 4.83 0.0732 4.83 9 2026 5.1 0.0728 5.18 10 2027 5.55 0.0724 5.55 11 2028 5.95 0.0720 5.95 12 Value line 2029 5.38 0.0716 6.38 13 forecasts of 2030 5.83 0.0712 6.83 14 annual dividends 2031 7.32 0.0708 7.32 15 2032 7.83 0.0704 7.83 16 2033 3.38 0.0700 8.38 17 Transitional period 2034 8.97 0.0700 86.43 95.39 18 with slowing dividend 19 growth 28.91 =PV of CF 20 Beginning of constant E17 * (1+F17)/(B5 - F17) 21 growth period NPV(B5, H2:H17) 22 23 Sprd 18.1Homework #02 0 Saved Help Save 3 Exit Submit Calculate the intrinsic value of Rio Tinto in each of the following scenarios by using the threestage growth model of Sgreadsheet 18.1. Treat each scenario independently. a. The terminal growth rate will be 6.00%. (Round your answer 10 2 decimal places.) 5...... TI Melences b. Rio Tinto's actual beta is 1.00. (Round your answer to 2 decimal places.) c. The market risk premium is 9.00%. (Round your answer to 2 decimal places.)

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