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A company is planning on increasing its annual dividend by 8.00% a year for the next three years and then settling down to a constant

A company is planning on increasing its annual dividend by 8.00% a year for the next three years and then settling down to a constant growth rate of 3.00% per year in perpetuity. The company just paid its annual dividend in the amount of $0.90 per share. What is the current stock price if the required rate of return is 18.00%?

$6.48

$6.66

$6.83

$7.01

$7.18

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