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Fatima Store Is Considering A Cash Purchase Of The Stock Of Sarah Supplier. During The Year Just Completed, Sarah Earned $4.00 Per Share And Paid

Fatima Store Is Considering A Cash Purchase Of The Stock Of Sarah Supplier. During The Year Just Completed, Sarah Earned $4.00 Per Share And Paid Dividend Of $2.50. Sarah's Earning And Dividend Are Expected To Grow At 20% Per Year For The Next 3 Years, After Which They Are Expected To Grow At 5% Per Year To Infinity. What Is The Maximum Price Per Share That Fatima Should Pay For Sarah If Fatima Requires A Return Of 15%? Clearly Show Your Work Steps.

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