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A fast-growing firm recently paid a dividend of $0.50 per share. The dividend is expected to increase at a 20 percent rate for the next
A fast-growing firm recently paid a dividend of $0.50 per share. The dividend is expected to increase at a 20 percent rate for the next four years. Afterwards, a more stable 13 percent growth rate can be assumed. If a 14.5 percent discount rate is appropriate for this stock, what is its value? (Do not round intermediate calculations. Round your final answer to 2 decimal places.)
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