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Victoria is interested in adding some KLM, Inc. stock to her investment portfolio. She observes that the stock just paid a dividend of $2.00. Based
Victoria is interested in adding some KLM, Inc. stock to her investment portfolio. She observes that the stock just paid a dividend of $2.00. Based on her estimates, dividends will grow at 25% for the next two years and 5% forever after that. Assuming a discount rate of 12%, Victoria knows that KLM, Inc. stock is worth $
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