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You expect Commodore Company's stock to pay its next dividend of $6.91 exactly one year from now. After this first dividend, future dividends will grow
You expect Commodore Company's stock to pay its next dividend of $6.91 exactly one year from now. After this first dividend, future dividends will grow at -2% for each of the subsequent 2 years and then 2% per year every year thereafter. What is Commodore's intrinsic value today? Use a discount rate of 9.0% and round your answer to the nearest penny.
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