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A stock paid a dividend earlier today of $3. The annual dividend is expected to grow 10% for the next 2 years (one year from
A stock paid a dividend earlier today of $3. The annual dividend is expected to grow 10% for the next 2 years (one year from now, and two years from now), then growth will be a constant 2% starting the third year. If investors require a rate of return of 8% what should the stock price be today?
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