Question: Question 1 1 pts 3 a Agarwal Technologies was founded 10 years ago. It has been profitable for the last 5 years, but it has

 Question 1 1 pts 3 a Agarwal Technologies was founded 10

Question 1 1 pts 3 a Agarwal Technologies was founded 10 years ago. It has been profitable for the last 5 years, but it has needed all of its carings to support growth and thus has never paid a dividend. Management has indicated that it plans to pay a $0.25 dividend 3 years from today, then to increase it at a relatively rapid rate for 2 years, and then to increase it at a constant rate of 8.00% thereafter. Management's forecast of the future dividend stream, along with the forecasted growth rates, is shown below. Assuming a required return of 11.00%, what is your estimate of the stock's current value? Use the dividend values provided in the table below for your calculations. Do not round your intermediate calculations. 0 1 6 Year Growth rate Dividends NA NA 50.000 2 NA $0.000 NA $0.250 $0.000 60.00% $0.400 30.00% $0.520 8.00% $0.562 $12.23 $11.28 $11.87 O $13.65 O $13.30

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