AFW Industries has 186 million shares outstanding and expects earnings at the end of this year of $708 million. AFW plans to pay out 65%

of its earnings in total, paying 38% as a dividend and using 27% to repurchase shares. If AFW's earnings are expected to grow by 8.6% per year and these payout rates remain constant, determine AFW's share price assuming an equity cost of capital of 12.3%.

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Part 1

The price per share will be