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Fresno Corp. is a fast-growing company whose management that expects to grow at a rate...

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Accounting

Fresno Corp. is a fast-growing company whose management that expects to grow at a rate of 30 percent over the next two years and then to slow to a growth rate of 13 percent for the following three years. The required rate of return is 14 percent. If the last dividend paid by the company was $2.15.

Compute the present value of these dividends if the required rate of return is 14 percent. (Round intermediate calculations and final answer to 2 decimal places, e.g. 15.20.)

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