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Jaime Rich is interested in buying shares in Large Sky Brewing Ltd, which is growing at a constant rate of 10 percent. Last year, the
Jaime Rich is interested in buying shares in Large Sky Brewing Ltd, which is growing at a constant rate of 10 percent. Last year, the company paid a dividend of $2.65. Her required rate of return is 17.5 percent.
a)What is the current price for this share?
b)What would be the price of the share in year 5?
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