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Pavlos, Inc., is expecting a period of intense growth, so it has decided to reduce its annual dividend by 10 percent a year for the

Pavlos, Inc., is expecting a period of intense growth, so it has decided to reduce its annual dividend by 10 percent a year for the next three years. After that, it will maintain a constant dividend of $1.90 a share. Last year, the annual dividend was $2.70 a share. What is the market value of this stock if the required rate of return is 15 percent?

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