You have been provided the following actual financial information from the reformulated financial statements of Lillooet Inc. for the year 2020, and then a set of forecasted financial information for the three-year period, 2021 2023.

2020 Actual: sales = $800,000 Shareholders' Equity = $200,000 2021 Forecasts: sales growth = 5% operating profit margin after tax = 0.10 asset turnover ratio = 1.90 net financing expenses = $15,000 2022 Forecasts: sales growth = 4% operating profit margin after tax -0.10 asset turnover ratio = 2.0 net financing expenses = $15,500 2023 Forecasts: sales growth = 3% operating profit margin after tax = 0.10 asset turnover ratio = 2.0 net financing expenses = $16,000 In conjunction, you have also been provided with the following additional information: the forecasted growth rate in comprehensive income after tax (CI) after 2023 is 2.5% Lillooet's cost of equity capital is 7.5% Lillooet's net borrowing cost (NBC) after tax is 6% Lillooet has no Other Comprehensive Income (OCI) items to report during any years Lillooet has 1 million common shares outstanding Using the Abnormal Earnings (Residual Income) valuation model, what is the intrinsic value of a common share of Lillooet Inc. based on the forecasts and additional information presented above? 1. $1.02 2. $1.55 3. $1.21 4. $1.35