Imagine you are working as a Business Analyst for a venture capital firm which is interested in acquiring FastDividend Inc, a fast growing high-tech company.

Over the last five years, FastDividend Inc. paid out following dividends below.

Year	Dividend
2015	$1.19
2016	$1.59
2017	$1.87
2018	$2.32
2019	$2.91

Your line manager wants you to value FastDividend but she argues that the company is likely to maintain such high growth only 5 more years. (i.e, from 2021 to 2025) and then it will grow at industry average rate, 5%, indefinitely. Assume that the discount rate is 8%.

i. What is the growth rate from 2015 to 2019?

ii-what is the present value of expected dividend payments from 2021 to 2025?

iii-what is the expected dividend in 2026?

vi-what is the present value of ecpected dividend paymant after 2025?

v-what is the price you suggest acquisition?