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Suppose that sales and profits of Anli Enterprises are growing at a rate of 25% per year. At the end of four years the growth
Suppose that sales and profits of Anli Enterprises are growing at a rate of 25% per year. At the end of four years the growth rate will drop to a steady 4%. At the end of year 5, Anli will issue its first dividend in the amount of $3.50 per share. If the required return on Anlis stock is 14%, what is the value today of a share of Anli's stock? Assume dividends grow at the same rate as earnings after year 4. Also, please show how to entering number in financial calculator HP 10bII+
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