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Calculate the value of stock under constant growth model with required return and declining growth rate

Sooty Iron works, Inc has had declining sales and increasing expenses over the last decade and expects this trend to continue. As a result the company predicts that earnings and dividends will decline indefinitely at a rate of 4% per year. Sooty's last dividend (D/0[) was $2 per share. If the market required rate of return is 12%, estimate the value of Sooty's common stock.

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