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Suppose Pale Hose, Inc. has just paid a dividend of $2.05 per share. Sales and profits for Pale Hose are expected to grow at a
Suppose Pale Hose, Inc. has just paid a dividend of $2.05 per share. Sales and profits for Pale Hose are expected to grow at a rate of 7.5% per year. Its dividend is expected to grow by the same amount. If the required return is 14%, what is the value of a share of Pale Hose?
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