?Newman manufacturing is considering a cash purchase of the stock of Grips Tool. During the year just? completed, Grips earned

?$2.93

per share and paid cash dividends of

?$1.23

per share

?(D0equals=$ 1.23).

? Grips' earnings and dividends are expected to grow at

20%

per year for the next 3? years, after which they are expected to grow

6%

per year to infinity. What is the maximum price per share that Newman should pay for Grips if it has a required return of

15%

on investments with risk characteristics similar to those of? Grips???