Computech Corporation is expanding rapidly and currently needs to retain all of its earnings; hence, it does not pay dividends. However, investors expect Computech to begin paying dividends, beginning with a dividend of $1.25 coming 3 years from today. The dividend should grow rapidly - at a rate of 24% per year - during Years 4 and 5; but after Year 5, growth should be a constant 7% per year. The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the question below.

If the required return on Computech is 12%, what is the value of the stock today? Round your answer to the nearest cent. Do not round your intermediate calculations.

Nonconstant growth \begin{tabular}{l|r|} \hline Year 3 Dwidend, D3 & $1.25 \\ \hline Supemormal gromth rate, g2 & 2400% \\ \hline Normal growth rate, 9 r & 700% \\ \hline Required return, i2 & 1200% \\ \hline \end{tabular} Dividends Ps Cash flows to common slockholders PV of cash flows to common stocholders Stock Prico, P0 Atematwely, using Excel NPV tunction Stock Proo, Po Formulas Dividends Ps Casti llows lio common stockholders PV of cath flows to common stechtolden Stock Price, P, Miemalively, uting Excel NPV funcion Stock Price, P, Computech Corporation is expanding rapidly and currently needs to retain all of its earnings; hence, it does not pay dividends. However, investors expect Computech to begin paying dividends, beginning with a dividend of $1.25 coming 3 years from today. The dividend should grow rapidly - at a rate of 24% per year - during Years 4 and 5; but after Year 5, growth should be a constant 7% per year. The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the question below. Open spreadsheet If the required return on Computech is 12%, what is the value of the stock today? Round your answer to the nearest cent. Do not round your intermediate calculations. $