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9. Chain Reaction, Inc., has been growing at a phenomenal rate of 35 percent per year because of its rapid expansion and explosive sales. You
9. Chain Reaction, Inc., has been growing at a phenomenal rate of 35 percent per year because of its rapid expansion and explosive sales. You believe this growth rate will last for three more years and will then drop to 15 percent per year. If the growth rate then remains at 15 percent indefinitely, what is the total value of the stock? Total dividends just paid were $3 million, and the required return is 25 percent
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