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Chloe is valuing a company. It is just about to pay a dividend of $10 per share. This dividend is expected to grow at 15
Chloe is valuing a company. It is just about to pay a dividend of $10 per share. This dividend is expected to grow at 15 percent per year for five years and then at 10 percent for the following five years. After that it will grow at 4 percent in perpetuity. What is the current value of a share if the opportunity cost of capital for this type of firm is 12 percent?
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