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Pac Pac Toys began manufacturing and selling retro arcade games for sports bars. The company is expected to pay a dividend of $ 1 .

Pac Pac Toys began manufacturing and selling retro arcade games for sports bars. The company is expected to pay a dividend of $1.50 per share next quarter. The growth rate is expected to be 1.8% per quarter for the next 5 years, after which dividends are expected to grow at 1.2% per quarter for the next 5 years. Beyond that time, Pac Pac Toyss dividends are expected to grow at 0.5% per quarter. Your personal discount rate for Pac Pac Toys is 18% APR.
6. Find the present value of the dividends that will be paid out for the next 10 years.
7. Find the implied share price.

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