A stock is expected to pay a dividend of $2.75 at the end of the year (i.e., D₁ = $2.75), and it should continue to grow at a constant rate of 8% a year. If its required return is 13%, what is the stock's expected price 3 years from today? Do not round intermediate calculations. Round your answer to the nearest cent.

$

Problem 9.11 (Valuation of a Constant Growth Stock) + Question 15 of 20 Check My Work (3 remaining) eBook Problem Walk-Through A stock is expected to pay a dividend of $2.75 at the end of the year (i.e., D1 = $2.75), and it should continue to grow at a constant rate of 8% a year. If its required return is 13%, what is the stock's expected price 3 years from today? Do not round intermediate calculations. Round your answer to the nearest cent. $ Check My Work (3 remaining)