What is the firm horizon or continuing-value

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Holt Enterprises recently paid a dividend, D0, of $2.50. It expects to have nonconstant growth of 16% for 2 years followed by a constant rate of 8% thereafter. The firm's required return is 13%.

1) What is the firm's horizon, or continuing, value? Round your answer to two decimal places. Do not round your intermediate calculations.

2) What is the firm's intrinsic value today,  P^0? Round your answer to two decimal places. Do not round your intermediate calculations.

Reference no: EM132035849

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