Computing the current share price of the stock

Reference no: EM131965427

Question: DBP Inc. just paid a dividend of $2.50. The expected growth rate of dividend is 5 percent. The required return for investors in the first three years is 12 percent and 10 percent for the following three years. After those six years the required return is 8 percent. What is the current share price of the stock?

Reference no: EM131965427

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