Problem:
Ryan Inc is expected to have its growth rate drop from 20% to 10% in 5 years. The last dividend was $3 and the discount rate is based on beta of 3, T bond rate of 5% and return of the market of 10%. First, find the value of Ryan Inc. Second, compute the yield to maturity one expects. Third, what is the market value in one year?
Please provide step by step solution and also show all work.