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Intro LightWorks Inc. has a cost of equity of 8%. The firm will pay an annual dividend of $2.6 in one year and its dividends

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Intro LightWorks Inc. has a cost of equity of 8%. The firm will pay an annual dividend of $2.6 in one year and its dividends had been expected to grow by 6% per year thereafter. You just heard on the news that LightWorks has changed its growth forecasts and now expects its dividend to grow by 4% per year forever after the first year. Part 1 Attempt 5/10 for 10 pts. What is the change in the intrinsic value of LightWorks (in $ )? Choose the right sign

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