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Show the work please. # 27 Suppose the risk-free rate is 2.21% and an analyst assumes a market risk premium of 6.22%. Firm A just

image text in transcribedShow the work please.

# 27 Suppose the risk-free rate is 2.21% and an analyst assumes a market risk premium of 6.22%. Firm A just paid a dividend of $1.25 per share. The analyst estimates the 3 of Firm A to be 1.25 and estimates the dividend growth rate to be 4.25% forever. Firm A has 277.00 million shares outstanding. Firm B just paid a dividend of $1.79 per share. The analyst estimates the 3 of Firm B to be 0.80 and believes that dividends will grow at 2.88% forever. Firm B has 199.00 million shares outstanding. What is the value of Firm A? Submit Answer format: Currency: Round to: 2 decimal places

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