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A firm just paid a dividend of $1.00 with an expected growth rate of 40% next year, 30% the following year, 15% the year after

A firm just paid a dividend of $1.00 with an expected growth rate of 40% next year, 30% the following year, 15% the year after that, and at a constant rate of 8% thereafter. The required return on this firm's equity is 16%. What is the price of the stock? The answer is $22 but how do you get that number?

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