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Something don't jives with the circuit shown and the waveform shown.
R5 can only get current thru R1...because Q1 will take away current as it starts conducting.
But R1 is 15K, and V1 is 15 volt....a peak of only 1 milliamp can flow.....where did you get the 2.6 amps peak?
Most likely the model is either incompatible with LTSpice or just wrong...I don't know.
2) Put C1 back in.Why is your Load Resistor (R5) Only 1 Ohm?.
It is Shorting Out the DC Collector Voltage.
3) The bias is wrong.The transistor can not amplify a signal below ground.
change R3 to 5k
[/U] The capacitor is there to block the DC and move the signal up in voltage to a range where the amplifier can work.
Your theory doesn't work when the base-collector diode current is extremely high.Since V2 is 5V peak and R5 is 1Ω, with C1 shorted out the peak theoretical current flow via the collector-base diode of Q1 will be ~ (5-0.7)/1 = 4.3A.
It does for a theoretical transistor whose bc diode drop is independent of current (but not for a practical transistor)Your theory doesn't work when the base-collector diode current is extremely high.