Assume Gillette Corporation will pay an annual dividend of $$0\mathrm{.}62$ one year from now. Analysts

expect this dividend to grow at $11\mathrm{.}7\%$ per year thereafter until the sixth year. Thereafter, growth

will level off at $2\mathrm{.}5\%$ per year. According to the DDM$,$ what is the value of a share of Gillette

stock if the firm's equity cost of capital is $7\mathrm{.}5\%?$

The value of$$ Gillette's stock

NOTE: SHOW DETAIL CALCULATION