At the end of the year 2019 the Pili Mazapan Industry had free cash flow to equity (FCFE) of 2.50 per share. The following annual growth rates in FCFE are projected: Year Growth Rate 2020 10% 2021 15% 2022 20% 2023 25% 2024 20% 2025 15% 2026 10% 2027 7% From year 2028 onward growth in FCFE is expected to remain constant at 5% per year. The industry has a beta of 0.90 and the current industry price is 105. Currently the yield on 10-year PHL Treasury notes is 5% and the equity risk premium is 4% 1.Calculate the required rate of return on equity? 2.Calculate the present value now (Year 2019) of FCFE during the period of increasing growth (that is for years 2020 to 2023)