Holt Enterprises recently paid a dividend, D0, of $3.25. It expects to have nonconstant growth of 22% for 2 years followed by a constant rate of 4% thereafter. The firm's required return is 17%.
aWhat is the firm's horizon, or continuing, value? Do not round intermediate calculations. Round your answer to the nearest cent.
$____
bWhat is the firm's intrinsic value today, P0 ? Do not round intermediate calculations. Round your answer to the nearest cent.