You are the financial controller for EP Limited. You are thinking of taking the company public and listing on The Baham

[answerhappygod]

You are the financial controller
for EP Limited. You are thinking of taking the company public
and listing on The Bahamas International Securities Exchange. You
have determined that you require about $40 million for the IPO.
You retain an investment bank that provides you with the
following information:
Rf = 4%
Rm = 9.5%
Beta for similar companies = 2.5
d. Assume instead that EP Limited paid a
dividend of $1.60 yesterday and expects dividends to grow by 9.5%
in year 1, 8% in year 2 and then grow constantly at 4% into
infinity. Using a required rate of return of 11%, what is the
value of this company?