q4

(Estimated time allowance: 17 minutes) EarlyOne Inc. is start-up company and therefore is not paying dividends for the next 8 years. At the following year, EarlyOne will start paying an annual dividend of \$5 per share per year until year 14. Thereafter, it will increase the dividends by 2% per year forever. If the required rate of return on this stock is 9%, what is the price of this stock today? Do not use the $ sign. DO NOT USE commas to separate thousands. Use two decimals and round to the nearest cent. For example if you obtain $1,432.728 then enter 1432.72; if you obtain $432 then enter 432.00