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Assume that a company paid a dividend of $ 0 . 7 0 in 2 0 2 3 . Dividends are expected to grow annually

Assume that a company paid a dividend of $0.70 in 2023. Dividends are expected to grow annually by 5% for the next four years (2024 to 2027). From 2028, dividends will grow at a constant rate of 3% per year.
If the cost of equity is 10%, and the market value of the company share was $15.65 after paying the dividend in 2023:
a) Build a dividend growth model that captures both high growth and constant growth.
b) Should you buy the company share? Explain your answer.

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