Sheridan Infotech is a fast-growing communications company. The company did not pay a dividend last year and is not expected to do so for the next two years. Last year the companys growth accelerated, and management expects to grow the business at a rate of 40 percent for the next five years before growth slows to a more stable rate of 10 percent. In the third year, management has forecasted a dividend payment of $1.40. Dividends will grow with the company thereafter. Required rate of such stocks is 20%. Q1. What is value of stock? Q2. What is the current value of stock?