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2. Stock with Dividend Growth I Consider a corporation that is just founded today. The company plans to pay a dividend of $0.5 per share
2. Stock with Dividend Growth I Consider a corporation that is just founded today. The company plans to pay a dividend of $0.5 per share each year in the first three years. Starting in year 4, its earnings are expected to grow at 10% per year, so the dividends are expected to grow at the same rate forever. The required return on the stock is 12%. What is the current stock price
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