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P&Q Ltd. has just paid a dividend of $12 per share. This dividend is expected to grow at 10% per year for the next

P&Q Ltd. has just paid a dividend of $12 per share. This dividend is expected to grow at 10% per year for the next three years. After that, it will grow at 5% in perpetuity. What is the current value of its share if the equity cost of capital is 8%? (9 marks)

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