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You expect KTI will have earnings per share of $3 this year and expect that they will pay out $1.50 of these eamings to shareholders

You expect KTI will have earnings per share of $3 this year and expect that they will pay out $1.50 of these eamings to shareholders in the form of a dividend. KRI's return on new investments is 15% and their equity cost of capital is 12%. What is the value of a share of KTI's stock?

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