Intro

A stock just paid an annual dividend of $$7\mathrm{.}2.$ The dividend is expected to grow by $3\%$ per

year for the next $4$ years. In $4$ years, the P$/$E ratio is expected to be $23$ and the payout ratio

to be $60\%.$

The required rate of return is $8\%.$

Part $1$

What is the value of the stock?