You are considering purchasing the stock of Beximco Pharmaceuticals with a current price of Tk. 184. The current year's annual dividend payment was Tk. 12 per share. You estimate that the dividends are expected to grow at an annual rate of 13 percent over the next four years because of the introduction of a new Covid-19 vaccine. You also expect that Beximco will not be able to maintain this abnormal growth rate and the growth rate will ultimately decline to 7 percent at the end of year four and continue for the foreseeable future.

i) If your required rate of return is 11 percent, what should be the maximum price per share that you are willing to pay for Beximco Pharmaceuticals? Is the stock of Beximco fairly priced?