Ch 09: Assignment Stocks and Their Valuation 9. Stocks that don't pay dividends yet Goodwin Technologies, a relatively young company has been wildly successful but has yet to pay a dividend. An analyst forecasts that Goodwinds likely to pay its first dividend three years from now. She expects Goodwin to pay a $3.75000 dividend at that time (D2 - $375000) and believes that the dividend will grow by 19.50000% for the following two years (D and D.). However, after the fifth year she expects Goodwin's dividend to grow at n constant rate of 3.96000% per year Goodwin's required return is 13 20000%. Fill in the following chart to determine Goodwin's horizon value at the horizon date (when constant growth begins) and the current intrinsic value to increase the accuracy of your calculations, do not round your intermediate calculation, but round all final antwers to two decimal places Term Value Horizon value ed Current intrinsic value Assuming that the markets are in equilibrium, Goodwin's current expected dividend yield is and Goodwin's capital gains yield is Goodwin has been very successful but it hasn't paid a dividend yot. It circulates a report to its key investors containing the following statement: Goodwin's investment opportunities are poor Is this statemente possible dxplanation for why the firm hasn't paid a dividend yet? Yes NO