Better Mousetraps has come out with an improved product, and the world is beating a path to its door. As a result, the firm projects growth of 20% per year for 4 years. By then, other firms will have copycat technology, competition will drive down profit margins, and the sustainable growth rate will fall to 5%. The most recent annual dividend was DIV0 = $1 per share.

Compute the value of Better Mousetraps for assumed sustainable growth rates of 6% through 9%, in increments of 0.5% and compute the percentage change in the value of the firm for each 1 percentage point increase in the assumed final growth rate, g, using a required rate of return of 10%.

Note: Do not round intermediate calculations. Round your answers to 2 decimal places.

\begin{tabular}{|c|r|r|l|} \hline SustainableGrowthRate & IntrinsicValue(PV) & \multicolumn{2}{|c|}{ \% Change in PV } \\ \hline 5.00% & 34.74 & & \\ \hline 6.00% & & & % \\ \hline 6.50% & & & \\ \hline 7.00% & & & % \\ \hline 7.50% & & & \\ \hline 8.00% & & & % \\ \hline 8.50% & & & \\ \hline 9.00% & & & % \\ \hline \end{tabular}