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VolCo stock will pay annual dividends of $2.72 and $1.38 in each of the next two years, with the first dividend occurring one year from
VolCo stock will pay annual dividends of $2.72 and $1.38 in each of the next two years, with the first dividend occurring one year from today. Then, in year three and continuing every year thereafter, VolCo's annual dividend will be a constant $1.09. If investors require a 11.0% rate of return, what is a fair price for the stock today? Round your answer to the nearest penny.
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