Holt Enterprises recently paid a dividend, Do, of 1.75. It expects to have no constant growth of 15% for 2 years followed by a constant rate of 7% thereafter. The firm's required return is 16% a. How far away the horizon date? 1. The terminal, or horizon, dat is the date when the growth rate becomes constant. This occurs at the end of Year 2 II. The terminal, o horizon, dates infinity since common stocks do not have a maturity date II. The terminal, or horizon, date is Year o since the value of a common stock is the present value of all future expected dividends at time zero IV. The terminal, or horizon date is the date when the growth rate becomes nonconstant. This occurs at time zero V. The terminal, or horon, date is the date when the growth rate becomes constant. This occurs at the beginning of Year 2 b. What is the firm's horizon, or continuare, value? Do not round intermediate calculation, Hound your answer to the nearest cent. c. Who is the firm's intrinsic value today, Bo? Do not round intermonate calculations. Round your answer to the nearest cent. Check My World