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ABC Corp. is experiencing rapid growth. Dividends are expected to grow at 3 5 percent per year during the next five years, 2 0 percent

ABC Corp. is experiencing rapid growth. Dividends are expected to grow at 35 percent per
year during the next five years, 20 percent over the following 3 years, and then 10 percent
per year indefinitely. The required return on this stock is 15 percent, and the stock currently
sells for $106 per share. What is the projected dividend for the coming year?

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