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Bengal Company just paid a $1 dividend. Bengals dividends are expected to grow by 50% this year, 25% next year, and 10% the year after
Bengal Company just paid a $1 dividend. Bengals dividends are expected to grow by 50% this year, 25% next year, and 10% the year after that. Bengal is then expected to be mature and its dividends are expected to grow at a constant 3% per year in perpetuity. If investors require a 14% return on Bengal stock, what should Bengal sell for?
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