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A company just paid a divided of $ 1.10 per share. You expect the dividend to grow 14% over the next your 9% two years from now. After two years, you have estimated that the dividend will continue to grow indefinitely at the rate of 5% per year. If the required rate of return is 12% per year, what would be a fair price for this block today? (Answer to the nearest penny.)

Financial Management, Finance

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