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Central Inc. has an 11.5% required rate of return. It does not expect to initiate dividends for 20 years, at which time it will pay

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Central Inc. has an 11.5% required rate of return. It does not expect to initiate dividends for 20 years, at which time it will pay $3.75 per share ' in dividends. At that time, Central expects its dividends to grow at 6% forever. What is an estimate of Central's price in 20 years (P_20) if its dividend at the end of year 20 is $3.75? What is its price in today s dollars if you desire a rate of return of 12 %

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