Dusk Inc. is a fast-growing firm specializing in night vision devices. Your friend was just telling you that you should jump on it as Dusk is a "good deal" at $75. You decide to calculate yourself the fair value of one share of Dusk, so you can judge for yourself whether the current price is undervalued, overvalued, or fair. Dusk just paid a $4.4 dividend per share. The dividends are expected to grow by 10% each year for 2 years (i.e., until year 2), then by 6% each year for the following 2 years (i.e., year 3 and year 4). From year 5 on, dividends are expected to grow at 3% for the foreseeable future. The required rate of return/discount rate is 9%. Based on your calculations regarding the fair value of the stock, is it undervalued, overvalued, or fairly priced? Will you buy the stock? T T T F Paragraph Arial 3 (12pt) VE E - T- T T % DOO fx Mashups ED.HTML CSS Path:p Words:0