The forecasted earnings and dividends for Growth-Tech are as follows: Year: Book equity Earnings per share (EPS) Return on equity (ROE) Payout ratio Dividends per share (DIV) Growth rate of dividends (8) 1 2 3 10.00 12.00 14.40 15.55 2.50 3.00 2.30 2.48 0.25 0.25 0.16 0.16 0.20 0.20 0.50 0.50 0.50 0.60 1.15 1.24 20 92 8 The opportunity cost of capital is r= 0.12. The growth rate in year 4 rerhains constant thereafter. a. Calculate the value of Growth-Tech stock. (Do not round intermediate calculations. Round your answer to 2 decimal places.) b. What part of the stock value reflects the discounted value of P3, the price forecasted for year 3? (Do not round intermediate calculations. Round your answer to 2 decimal places.) c. What part of P3 reflects the present value of growth opportunities (PVGO) after year 3? (Do not round intermediate calculations. Round your answer to 2 decimal places.) d. Suppose that competition will catch up with Growth-Tech by year 4, so that it can earn only its cost of capital on any investments made in year 4 or subsequently. What is Growth-Tech stock worth now under this assumption? (Make additional assumptions if necessary.) (Do not round intermediate calculations. Round your answer to 2 decimal places.) a. Stock value b. Discounted value of P3 $ 23.81 c. PVGO d. Stock value