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Holt Enterprises recently paid a dividend, D0, of $1.25. It expects to have nonconstant growth of 15% for 2 years followed by a constant rate
Holt Enterprises recently paid a dividend, D0, of $1.25. It expects to have nonconstant growth of 15% for 2 years followed by a constant rate of 4% thereafter. The firm's required return is 10%.
A. What is the firm's horizon, or continuing, value? Round your answer to two decimal places. Do not round your intermediate calculations.
$
B.What is the firm's intrinsic value today, P0? Round your answer to two decimal places. Do not round your intermediate calculations.
$
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