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Mercer Bearings, Inc. is a young startup company. No dividends will be paid on the stock over the next five years because the firm needs

Mercer Bearings, Inc. is a young startup company. No dividends will be paid on the stock over the next five years because the firm needs to plow back its earnings to fuel growth. The company will then pay a dividend of $4 per share six years from today and will increase the dividend by 1.5 percent per year, thereafter. If the required return this stock is 9.5 percent, what is the current share price?

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