Chapter 13 Practice Test Question 16 Multistage Growth At the beginning of 2010 stock of Boatright Stores is projecting the following dividends Dividend 1.08 Year 2010 2011 2012 1.12 1.40 After this dividend growth will be steady. Value Line forecasts a retention rate of 25% and a long term ROE of 9%. The required return for Boatright is 11%. The intrinsic value of Boatright is Multiple Choice $2.08 o $-0.16 o $13.72 o o $14.87