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IBM will pay its first yearly dividend of $2, 3 years from today. The dividends will grow at a rate of 5% per annum till

IBM will pay its first yearly dividend of $2, 3 years from today. The dividends will grow at a rate of 5% per annum till the 7th year. After that the dividends will grow at a rate of 3% forever.

If the risk of IBM stock is 10% per annum what should be the PV of the stock?

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