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1. Company Z's earnings and dividends per share are expected to grow indefinitely by 5.5% a year. If next year's dividend is $11 and the

1.Company Z's earnings and dividends per share are expected to grow indefinitely by 5.5% a year. If next year's dividend is $11 and the market capitalization rate (or cost of equity = r) is 7.5%, what is the current stock price?

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