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Please show in detail how you arrived at the correct answer. step by step with explanation Stock Valuation--Variable Dividend Growth Rates What would you be

Please show in detail how you arrived at the correct answer. step by step with explanation

Stock Valuation--Variable Dividend Growth Rates

What would you be willing to pay for the following share of stock?

The company's most recent dividend was $2.

Dividends are expected to grow by 10% the first two years, by 7 percent the next two years, and then at a rate of 5% for the unforeseeable future.

The required rate of return is 13%.

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