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A stock just paid a cash dividend of $2.20 per share. It is expected not to grow for the next 5 years. After that, the

A stock just paid a cash dividend of $2.20 per share. It is expected not to grow for the next 5 years. After that, the dividends will grow at 4% per year forever. The required return Is 12%. (12 pts)

(a) Calculate the price of the stock in 5 years.

(b) Calculate the price of the stock today.

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