1a. Suppose the risk-free rate is 3.44% and an analyst assumes a market risk premium of 7.70%. Firm A just paid a dividend of $1.50 per share. The analyst estimates the of Firm A to be 1.24 and estimates the dividend growth rate to be 4.31% forever. Firm A has 253.00 million shares outstanding. Firm B just paid a dividend of $1.68 per share. The analyst estimates the of Firm B to be 0.79 and believes that dividends will grow at 2.51% forever. Firm B has 182.00 million shares outstanding. What is the value of Firm B?

Answer format: Currency: Round to: 2 decimal places.

1b. Suppose the risk-free rate is 3.73% and an analyst assumes a market risk premium of 6.39%. Firm A just paid a dividend of $1.14 per share. The analyst estimates the of Firm A to be 1.41 and estimates the dividend growth rate to be 4.54% forever. Firm A has 281.00 million shares outstanding. Firm B just paid a dividend of $1.59 per share. The analyst estimates the of Firm B to be 0.70 and believes that dividends will grow at 2.65% forever. Firm B has 196.00 million shares outstanding. What is the value of Firm A?

Answer format: Currency: Round to: 2 decimal places.