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A company stock sells at a P/E ratio of 20.4 times earnings. It is expected to pay dividends of $1.77 per share in each of

A company stock sells at a P/E ratio of 20.4 times earnings. It is expected to pay dividends of $1.77 per share in each of the next 5 years and to generate an EPS of $4.54 in year 5. Using the dividends-and-earnings model and a 13% discount rate, compute the stock's justified price.

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