Q4, (not important, just for the sake of knowledge)
The terminal value of $107.525 is calculated. Then it was divided by $103,
as (107.525/103)^.5-1 = 2.173%
and then 2.173% * 2 = 4.3459% What’s the point of square root of (107.525/103) and then multiply it by 2?
Maybe my question could also be
can we use (1+2.173)^2 -1 = (107.525/103) as the final answer?