Christy Co, book value of equity at January 1, Year 1, is $50,000 Christy has a 15% cost of equity capital (k). Forecasts of Christy's accounting data follow: Year 1 Year 2 Year 3 Year 4 Year 5 Sales $100,00 0 $113,000 $127,690 $144,290 $144,29 o Operating Expenses $77,500 $90,000 $103,50 0 $118,000 $119,04 0 Depreciatio $10,000 $11,300 $12,770 $14,430 $14,430 n Net Income $12,000 $11,700 $11,400 $11,860 $10,820 Dividends $5,500 $4,300 $3,120 $11,860 $10,820 From Year 6 and beyond, both accounting data and dividends approximate Year 5 levels. Required: Calculate Christy Company's residual income for each of Year 1 through Year 5. (15 points) Use the accounting-based cquity valuation model to estimate the value of Christy's equity at January 1 of each of Year 2 through Year 5. (15 points)