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Goodwin Technologies, a relatively young company, has been wildly successful but has yet to pay a dividend. An analyst forecasts that Goodwin is likely to pay its first dividend three years from now. She expects Goodwin to pay a $2.75000 dividend at that time (D. - $2.75000) and believes that the dividend will grow by 14.30000% for the following two years (0, and Ds). However, after the fifth year, she expects Goodwin's dividend to grow at a constant rate of 3.72000% per year. Goodwin's required return is 12.40000%. Fill in the following chart to determine Goodwin's horizon value at the horizon date (when constant growth begins) and the current intrinsic value. To Increase the accuracy of your calculations, do not round your intermediate calculations, but round all final answers to two decimal places. Term Value Horizon value Current intrinsic value If investors expect a total return of 13.40%, what will be Goodwin's expected dividend and capital gains yield in two years-that is, the year before the firm begins paying dividends? Again, remember to carry out the dividend values to four decimal places, (Hint: You are at year 2, and the first dividend is expected to be paid at the end of the year. Find DY, and CGY..) Expected dividend yield (DY) Expected capital gains yield (CGY) Goodwin has been very successful, but it hasn't paid a dividend yet. It circulates a report to its key investors containing the following statement: Goodwin's Investment opportunities are poor Is this statement a possible explanation for why the firm hasn't palda dividend yet? NO Goodwin Technologles, a relatively young company, has been wildly successful but has yet to pay a dividend. An analyst forecasts that Goodwin is likely to pay its first dividend three years from now. She expects Goodwin to pay a $2.75000 dividend at that time (0, - $2.75000) and believest the dividend will grow by 14.30000% for the following two years (D and D.). However, after the fifth year, she expects Goodwin's dividend to grow a constant rate of 3.72000% per year, Goodwin's required return is 12.40000%. Fill in the following chart to determine Goodwin's horizon value at the horizon date (when constant grov begins) and the current intrinsic value. To Increase the accuracy of your calculations, do not round your intermediate calculations, but round all answers to two decimal places. Term Value Horizon value Current intrinsic value $36.49 If investors expect a total re$30.05 3.40%, what will be Goodwin's expected dividend and capital gains yield in two years-that is, the year the firm begins paying divid pin, remember to carry out the dividend values to four decimal places. (Hint: You are at year 2, and the $51.52 dividend is expected to be end of the year. Find Dy, and CGY.) $42.93 Expected dividend yield (DY) Expected capital gains yleld (CGY) Goodwin has been very successful, but it hasn't paid a dividend yet. It circulates a report to its key Investors containing the following statem DTAP google tepon... WyAudi Audi 0303- Th 09- Assignment - Stocks and Their Valuation Goodwin Technologies, a relatively young company, has been wildly successful but has yet to pay a dividend. An analyst forecasts that Goodwin is likely to pay its first dividend three years from now. She expects Goodwin to pay a $2.75000 dividend at that time (0, - $2.75000) and believest the dividend will grow by 14.30000% for the following two years (D, and D.). However, after the fifth year, she expects Goodwin's dividend to grow a constant rate of 3.72000% per year. Goodwin's required return is 12.40000%. Fill in the following chart to determine Goodwin's horizon value ot the horizon date (when constant grow begins) and the current intrinsic value. To increase the accuracy of your calculations, do not round your intermediate calculations, but round all firu answers to two decimal places Term Value Horizon value Current intrinsic value $30.73 If investors expect a total 5.40%, what will be Goodwin's expected dividend and capital gains yield in two years -- that is, the year ben the firm begins paying divid $10.91 hin, remember to carry out the dividend values to four decimal places. (Hint: You are at year 2, and the firs dividend is expected to be end of the year. Find Dy, and CGY) $27.90 $29.84 Expected dividend yield (DY) Expected capital gains yield (CGY) Goodwin has been very successful, but it hasn't paid a dividend yet. It circulates a report to its key investors containing the following statement Goodwin's investment opportunities are poor. lation Technologies, relatively young company, has been wildly successful but has yet to pay a dividend. An analyst forecasts that Goodwin is likely to pay its first dividend three years from now. She expects Goodwin to pay a $2.75000 dividend at that time (0 - $2.75000) and believes that the dividend will grow by 14.30000% for the following two years (D, and Ds). However, after the fifth year, she expects Goodwin's dividend to grow at a constant rate of 3.72000% per year. Goodwin's required return is 12.40000%. Fill in the following chart to determine Goodwin's horizon value at the horizon date (when constant growth begins) and the current intrinsic value. To increase the accuracy of your calculations, do not round your intermediate calculations, but round all final answers to two decimal places. Value Term Horizon value Current intrinsic value If investors expect a total return of 13.40%, what will be Goodwin's expected dividend and capital gains yleld in two years--that is, the year before the firm begins paying dividends? Again, remember to carry out the dividend values to four decimal places. (Hint: You are at year 2, and the first dividend is expected to be paid at the end of the year. Find DY, and CGY..) Expected dividend yield (DY) Expected capital gains yield (CGY) 8.37% Goodwin has been very successful, but I 10.53% a dividend yet. It circulates a report to its key investors containing the following statement: 9.22% Goodwin's Investment opportunities 8.15% Is this statement a possible explanation for why the firm hasn't paid a dividend yet? Their Valuation Goodwin Technologies, a relatively young company, has been wildly successful but has yet to pay a dividend. An analyst forecasts that Goodwin is likely to pay its first dividend three years from now. She expects Goodwin to pay a $2.75000 dividend at that time (0, - $2.75000) and believes that the dividend will grow by 14.30000% for the following two years (D. and D.). However, after the fifth year, she expects Goodwin's dividend to grow at a constant rate of 3.72000% per year. Goodwin's required return is 12.40000%. Fill in the following chart to determine Goodwin's horizon value at the horizon date (when constant growth begins) and the current intrinsic value. To Increase the accuracy of your calculations, do not round your intermediate calculations, but round all final answers to two decimal places. Term Value Horizon value Current intrinsic value If investors expect a total return of 13.40%, what will be Goodwin's expected dividend and capital gains yield in two years-that is, the year before the firm begins paying dividends? Again, remember to carry out the dividend values to four decimal places. (Hint: You are at year 2, and the fire dividend is expected to be paid at the end of the year. Find Dy, and CGY..) Expected dividend yield (DY) Expected capital gains yield (CGY) Goodwin has been very successful, but 5.25% a dividend yet. It circulates a report to its key investors containing the following statements 12.33% -3.76% Goodwin's investment opportunities 6.82% Is this statement a possible explanation for why the firm hasn't paid a dividend yet? Goodwin's required retum is 12.40000%. Fill in the following chart to determine Goodwin's horizon value at the horizon date (when constant growth begins) and the current intrinsic value. To Increase the accuracy of your calculations, do not round your intermediate calculations, but round all final answers to two decimal places. Term Value Horizon value Current intrinsic value If investors expect a total return of 13.40%, what will be Goodwin's expected dividend and capital gains yield in two years--that is, the year before the firm begins paying dividends? Again, remember to carry out the dividend values to four decimal places. (Hint: You are at year 2, and the first dividend is expected to be paid at the end of the year. Find DY, and CGY..) Expected dividend yield (DY) Expected capital gains yield (CGY,) Goodwin has been very successful, but it hasn't paid a dividend yet. It circulates a report to its key investors containing the following statement: Goodwin's investment opportunities are poor. Is this statement a possible explanation for why the firm hasn't paid a dividend yet? No Yes

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