26. Tesbix is expected to grow at various rates over the next five years. The company just paid a $1.00 dividend. The company expects to grow at 20% for the next two years (affecting D1 and D2), then the company expects to grow at 10% for three additional years (D3, D4, D5) after which the company expects to grow at a constant rate of 5% per year indefinitely. If the cost of equity for this corporation is 12%, then the value of a share of Tesbix stock comes closest to: A) $20.5 B) $21 C) $21.25 D) $21.85 Ans: D