Nonconstant Dividend Growth Valuation Simpkins Corporation does not pay any dividends because it is expanding rapidly and needs to retain all of its eamings. Howevec; investars expect Simpkins to begin paying dividends, with the first dividend of $1.25 coming 3 years from today. The dividend should grow rapidly - at a rate of 75% per year = during Years 4 and 5 . After Year 5 , the company should grow at a constant rate of 10% per year. If the required return cn the stock is 17%, what is the value of the stock today? (Assume the market is in equilibrium with the required retum equal to the expected return.) Do not round intermediate calculatons. Round you answer to the nearest cent. Aonconstant FCF Growth Valuation Reizenstein Technologies (RT) has just developed a solar panel capable of generating 200% more electricity than any solar panel currently on the market. As a result, RT is expected to experience a 15% annual growth nate for the next 5 years. By the end of 5 years, other fims will have developed conparable technology, and RT's growth rate will slow to 7% per year indefinitely. RT has a 10\% weighted average cost of capital. The most recent annual free cash flow (FCFO) was $2.15 million. 3. Calculate RT's expected FCFs for t=1,t2,t=3,t=4, and t=5. Do not round intermediate calculations, Enter your answer in millions. For example, an answer of 31mision should be entered as 1 , not 1,000,000. Round your arswers to three decimal places. FCF1=5FCF2=5FCF3=5FCF4=$FCF5=$millionmillionmillonmilsonmillion b. What is the horizon value at t=5( HV 9) ? Do not round intermedlate calculations. Enter your answer in millions. For example, an answer of $1 inillion should be entered as 1, not 1,000,000. Round your answer to two decimal places. 5 million C. What is the present value of the horizon value? Do not round intermediate calculations. Enter your answer in millions. For example, an answer of $1 mililion should be entered as 1 , not 1,000,000. Round your answer to two decimal blaces. $ million d. What is the present value of the free cash flows expected at t1,t2,t3,t4, and t=5 ? Do not round intermediate calculations. Entee your answer in milsions. For example, an answer of $1 million should be entered as 1, not 1,000,000, Round your answer to two decimal places. $ million e. What is the value of operations at t=0. Do not round intermediate calculations. Enter your answer in malions. For example, an answer of $1 million should be entered as 1, not 1,000,000. Round your answer to two decimal places. 5 million Nonconstant Dividend Growth Valuation Conroy Consulting Corporation (CCC) has a current dividend of Do =$2.50. Shareholders require an 1195 rate of return. Although the dividend has been growing at a rate of 27% per year In recent years, this growth rate is expected to last only for another 2 years (90,a - 9t,2=274h). After year 2 , the growt: rate will stabalize at 9l=5% a. What is CCC's stock worth today? Do not round intermediate calculations. Round your answer to the nearest cent. 5. b. What is the expected stock price at Year 17 Do not round intermediate calculations. Round your answer to the nearest cent. c. What is the Year 1 expected (1) dividend yield, (2) capital gains yield, and (3) total retum? Do not round intermediate calculations, found your answers ti two decimal places. Dividend yleld: Capital qains yieid: Total return: d. What is its expected dividend yleld for the second year? The expected capital gains yield? The expected total return? Do not round intermediate calculations. Round your answers to two decimal places