If you can please help in excel for this part be I have attached part A as it is a camuliative question part A i have correct but I need help with part B  b. Calculate the present value of each of the anticipated dividends at a discount rate of 22 percent. (Do not round intermediate calculations. Round the final answers to 3 decimal places.)     PV of dividends   D1 $      D2      D3           Total $

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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If you can please help in excel for this part be I have attached part A as it is a camuliative question part A i have correct but I need help with part B 

b. Calculate the present value of each of the anticipated dividends at a discount rate of 22 percent. (Do not round intermediate calculations. Round the final answers to 3 decimal places.)

 

  PV of
dividends
  D1 $   
  D2   
  D3   
    
  Total $   
    
 
Hunter Petroleum Corporation pald a $5 dividend last year. The dividend is expected to grow at a constant rate of 8 percent forever.
The required rate of return is 22 percent (this will also serve as the discount rate in this problem). (Use a Financlal calculator to arrive
at the answers.)
a. Compute the anticipated value of the dividends for the next three years. (Do not round Intermediate calculations. Round the final
answer to 3 decimal places.)
Anticipated
value
D2
D3
Anticipated
value
1
=5.00*1.08
5.45
D1
5.45
D2
5.89
2
=5.45*1.08
5.89
D3
6.42
13
=5.89*1.08
6.42
Transcribed Image Text:Hunter Petroleum Corporation pald a $5 dividend last year. The dividend is expected to grow at a constant rate of 8 percent forever. The required rate of return is 22 percent (this will also serve as the discount rate in this problem). (Use a Financlal calculator to arrive at the answers.) a. Compute the anticipated value of the dividends for the next three years. (Do not round Intermediate calculations. Round the final answer to 3 decimal places.) Anticipated value D2 D3 Anticipated value 1 =5.00*1.08 5.45 D1 5.45 D2 5.89 2 =5.45*1.08 5.89 D3 6.42 13 =5.89*1.08 6.42
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