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4) A utility company you are evaluating has a cost of common stock (r) of 10% and its most recent dividend, that was just paid

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4) A utility company you are evaluating has a cost of common stock (r) of 10% and its most recent dividend, that was just paid yesterday, was $2.00 per share. You expect dividends to grow at 20% for two years, then grow at a constant rate of 5% for the foreseeable future. Using the two-stage dividend discount model, find the current price of this stock (P)

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