Dividend of $1 coming 3 years from now. Diviend will grow 50% per year during years 4 and 5. After year 5 the growth will be 6%. Required return is 16%. What is the value of the stock today?

Excel Online Structured Activity: Nonconstant growth 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 $100 coming 3 years from today. The dividend should grow rapidly at a rate of 50% per year during Years 4 and 5; but after Year 5 growth should be a constant 6% 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 16%, what is the value of the stock today? Pound your answer to the nearest cont. Do not round your intermediate calculations 3 Check My Work Reset