Dividends are expected to grow at constant rate

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The Jackson–Timberlake Wardrobe Co. just paid a dividend of $1.85 per share on its stock. The dividends are expected to grow at a constant rate of 4 percent per year indefinitely. Investors require a return of 12 percent on the company's stock.

What is the current stock price? What will the stock price be in three years? What will the stock price be in 14 years?

Reference no: EM131044637

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