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P 7-22 (similar to) Question Help Shatin Intl. has 9.8 million shares, an equity cost of capital of 13.1% and is expected to pay a

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P 7-22 (similar to) Question Help Shatin Intl. has 9.8 million shares, an equity cost of capital of 13.1% and is expected to pay a total dividend of $19.6 million each year forever. It announces that it will increase its payout to shareholders. Instead of increasing its dividend, it will keep it constant and will start repurchasing $10.4 million of stock each year as well. What is your estimate of Shatin's stock price after this announcement? The stock price will be $ (Round to the nearest cent.)

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