Computech is expanding rapidly and currently needs to retain all of its earnings..

Q Search this course 0 Nonconstant growth Video Excel Online Structured Activity: Nonconstant growth Computech Corporation is expanding rapidty and currently needs to retain all of its eanings; hence, it does not pay dividends. However, investors expect Computech to begin paying dividends, beginning with a dividend of $0.50 coming 3 years from today. The dividend should grow rapidly at a rate of 26% per year dung Years 4 and S but after Year 5, growth should be a constant S% per year. The data has been collected in the Microsoft Excel Online ne below, open the spreadsheet and perform the required analysis to answer the question below Open spreadsheet If the required return on Computech is 17%, what is the value of the stock today? Round your answer to the nearest cent. Do not round your intermediate calculations. Check My Work Reset Problem Next