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Stellar Design, a company with a 20% discount rate, is positioned for significant growth. Assuming a 25% dividend growth rate for Stellar Design over the
Stellar Design, a company with a 20% discount rate, is positioned for significant growth. Assuming a 25% dividend growth rate for Stellar Design over the next three years, followed by a more moderate 6% growth rate thereafter, what is the fair share price of Stellar Design if the most recent dividend paid was $5.00 per share? Answer choices: 58.87, 60.12, 59.07, or 51.34
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