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Elon Inc., is a start-up company. No dividends will be paid on the stock over the next 10 years, because the firm needs to plow

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Elon Inc., is a start-up company. No dividends will be paid on the stock over the next 10 years, because the firm needs to plow back its earnings to fuel growth. The company will pay a $2.24 per share dividend in 11 years and will increase the dividend by 2 percent per year thereafter. What is the current share price if the required return on this stock is 4 percent? a. $75.66 b. $78.27 c. $81.85 d. $85.12 e. $90.24

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