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Magnetic Corporation expects dividends to grow at a rate of 11.00% for the next 2 years. After 2 years, dividends are expected to grow at
Magnetic Corporation expects dividends to grow at a rate of 11.00% for the next 2 years. After 2 years, dividends are expected to grow at a constant rate of 3.5%, indefinitely. Magnetic's required rate of return 10.49%, and it paid a $2.31 dividend today. Show your answers to the nearest cent. Please show your steps.
a) Dividend at end of Year 1 =
b) Dvidend at end of Year 2 =
c) Dividend at end of Year 3 =
d) Price of stock at end of Year 2 =
e) Price of stock today =
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