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Devils Lair Pty Ltd is growing rapidly at a rate of 35 per cent for the next 7 years. The first dividend to be paid
Devils Lair Pty Ltd is growing rapidly at a rate of 35 per cent for the next 7 years. The first dividend to be paid 3 years from now will be worth $5. After 7 years the company will settle to a constant growth rate of 8.5 per cent. What is the market value for this share given a required rate of return of 14 per cent?
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