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BUST, Inc. has never paid a dividend. The company announced that next year it plans on paying an annual dividend of $0.75. It also stated
BUST, Inc. has never paid a dividend. The company announced that next year it plans on paying an annual dividend of $0.75. It also stated that dividends are expected to increase by 35% a year for each
of the following four years and then increase by 6% annually thereafter. The required rate of return on this stock is 17.50%. What is the expected price per share of BUST stock six years from now?
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