Computech corporation is expanding rapidly and currently needs to retain all of its earnings; hence, it does not pay dividends. however, investors expect computech to begin paying dividends, beginning with a dividend of $1.25 coming 3 years from today. the dividend should grow rapidly - at a rate of 21% per year - during years 4 and 5, but after year 5, growth should be a constant 8% per year.
1. if the required return on computech is 18%, what is the value of the stock today?

The business cycle is the periodic but irregular up-and-down movement in economic activity, measured by fluctuations in real gross domestic product (gdp) and other macroeconomic variables. a business cycle is typically characterized by four phases—recession, recovery, growth, and decline—that repeat themselves over time. economists note, however, that complete business cycles vary in length. the duration of business cycles can be anywhere from about two to twelve years, with most cycles averaging six years in length. some business analysts use the business cycle model and terminology to study and explain fluctuations in business inventory and other individual elements of corporate operations. but the term "business cycle" is still primarily associated with larger (industry-wide, regional, national, or even international) business trends.