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You are valuing ABC stock.ABC just paid a $2 dividend and you expect dividends to grow by 15% per year for the next 7 years
You are valuing ABC stock.ABC just paid a $2 dividend and you expect dividends to grow by 15% per year for the next 7 years (from t=1 to t=7) and then by 4% thereafter (t=8 to infinity).If investors require a 10% return what is your estimated stock price of ABC?Round your answer to the nearest cent (e.g.,12.34)
61.92
59.81
109.00
64.11
34.58
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