Today, Bill Williamson Corp. announced that it has just earned $7 per share for the current year and it has just paid out 25% of its earnings as dividends and reinvested its remaining earnings in projects earning a return of 30% per year. It will continue these policies through four years from today. Five years from today, Williamson expects to start paying out 80% of its earnings as the return on new projects it invests in to fall to 4% per year. These policies will continue forever. Calculate the price of Williamson stock today if Williamsons equity cost of capital equals 8% per year. Note: Earnings occur annually, and dividends are paid annually. Williamsons next earnings and dividend will occur one year from today.

use excelright answer is 167.39