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Jones Brothers Clothing does not expect to pay any dividends for the next two years. Three years from now they hope to pay $0.25 a
Jones Brothers Clothing does not expect to pay any dividends for the next two years. Three years from now they hope to pay $0.25 a share and increase that amount by 100 percent per year for the following two years. After that, the dividend is expected to increase in value by 2.5% annually. What is the value of this stock today if the required return is 9 percent?
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