Question 25: What was the geometric retum of Company B over the period @ 9.77% (b) 8.57% (c) 10.00% (d) 11.33% Question 26: Based on your answers to Questions 22-25 above, which company would have definitely been a better investment and earned you more money over the period? (a) Company A (b) Company B Question 27: A firm is expected to make $1 in free cash flow next year, $2 in free cash flow two years from now, and $4 in free cash flow three years from now. Then the firm's free cash flow is expected to grow by 3% per year forever. The discount rate for the firm's equity is 12%. What is a fair stock price for the firm (HINT: Use the 2-stage stock pricing valuation model)? Enter your answer below rounded to the nearest dollar. Partial credit will be awarded if you show work that is partially correct (full credit is awarded for the right answer whether or not work is shown). Question 22: You had the option to invest in one of two companies over the past three years. Their returns of the two companies over the past three years were: Company A -20%, +40%, +10%) Company B: {11%, 9%, 10%} What was the arithmetic return of Company A over the period? (a) 10.00% (b) 9.32% (C) 8.57% (d) 11.33% Question 23: What was the arithmetic return of Company B over the penod? (a) 10.00% (b) 9.32% (C) 8.57% (d) 11.33% Question 24: What was the geometric return of Company A over the period 2) 8.57% (b) 9.63%