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A firm is expected to pay a dividend of $ 1 . 8 5 next year and $ 2 . 0 0 the following year.

A firm is expected to pay a dividend of $1.85 next year and $2.00 the following year. Financial analysts believe the stock will be at their price target of $65 in two years.
Compute the value of this stock with a required return of 11.8 percent.

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