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The Jackson-Timberlake Wardrobe Co. just paid a dividend of $1.25 per share on its stock. The dividends are expected to grow at a constant rate
The Jackson-Timberlake Wardrobe Co. just paid a dividend of $1.25 per share on its stock. The dividends are expected to grow at a constant rate of 5 percent per year indefinitely. Investors require a return of 12 percent on the company's stock a. What is the current stock price? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b. What will the stock price be in 3 years? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) c. What will the stock price be in 8 years? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Current price . b. Stock price in 3 years Stock price in 8 years C
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