Question 1 (8 marks) (a). When Google's share price reached $475 per share Google had a P/E ratio of about 68 and an estimated market capitalisation rate of 11.5%. Google pays no dividends. What percentage of Google's share price was represented by PVGO? [4 marks (b). Assume Ace Frisbee Corporation produces a good that is very mature in their product life cycles. Ace Frisbee Corporation is expected to pay a dividend in Year 1 of $3.00, a dividend in Year 2 of $2.00, and a dividend in Year 3 of $1.00. After Year 3, dividends are expected to decline at the rate of 2% per year. An appropriate required return for the shares is 8%. How much the shares should be worth today? [4 marks] momentum and a cont