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Alice and Annie are considering the purchase of ordinary share that paid a dividend of $2.00 yesterday. You expect this share to have a growth

Alice and Annie are considering the purchase of ordinary share that paid a dividend of $2.00 yesterday. You expect this share to have a growth rate of 5% for the next 3 years. The long-run normal growth rate after year 3 is expected to be 10% (that is, a constant growth rate after year 3 of 10% per year forever). If you require a 14 percent rate of return, compute the dividend in year 4 and the share price in year 3. (You are required to keep each answer to two decimal points before you proceed to another section of the question.)

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