Perpetual Ltd is considering an expansion. Consider the following information about the financial structure of the firm.

Account payables	$ 200,000
Short-term debt	200,000
Current liabilities	$ 400,000
Long-term debt	$ 1,500,000
Owners equity	2,500,000
Total	$ 4,400,000

Assume that the company paid a dividend of $4.00 per share last year and the dividend is expected to grow at 5 per cent for the next 7 years, and after that the growth rate will be 6 per cent forever.

1. Calculate the value of the share if the required rate of return is 14.5 per cent?