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3 . Strico Co . just paid a dividend of $ 3 . 5 0 per share. The company will increase its dividend by 2

3. Strico Co. just paid a dividend of $3.50 per share. The company will increase its dividend by 20 percent next year and will then reduce its dividend growth rate by 5 percent per year until it reaches the industry average of 5 percent dividend growth, after which the firm will keep a constant growth rate forever. If the required rate of return on Sterico stock is 13 percent, What will a share of stock sell for today?

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