Calculate the price of the wasilla company stock today

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Problem 1: Calculate the price of the Wasilla Company's stock today, to the nearest cent, if after one year if will have a dividend of $1.73 and then grow at a rate of 11% to a second dividend at t = 2. Thereafter, the growth in dividends slows to 5% per year. Use 7% for a discount rate.

Reference no: EM133006185

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