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You are analyzing Climatics Analytics, a stock that yesterday paid a dividend of $2.00. You expect this dividend to last three more years. Beginning in
You are analyzing Climatics Analytics, a stock that yesterday paid a dividend of $2.00. You expect this dividend to last three more years. Beginning in the fourth year, you expect Climatics to raise its dividend by 2% every year, into perpetuity. If the appropriate discount rate is 10%, what is the value of Climatics stock?
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