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The last dividend paid by United Corporation was $1.60. The dividend growth rate is expected to be constant at 2% for 2 years, after which
The last dividend paid by United Corporation was $1.60. The dividend growth rate is expected to be constant at 2% for 2 years, after which dividends are expected to grow at a rate of 6.0% forever. The firm's required return (rs) is 12.0%. What is the best estimate of the current stock price? Set your calculator to at least 4 decimal places.
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