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1 . The risk - free rate is 3 . 6 8 % and the market risk premium is 8 . 4 3 % .

1. The risk-free rate is 3.68% and the market risk premium is 8.43%. A stock with a \beta of 1.15 just paid a dividend of $1.80. The dividend is expected to grow at 20.61% for three years and then grow at 4.36% forever. What is the value of the stock?

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