Especially on how to calculate present value

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Reference no: EM132014328

A stock is expected to pay the following dividends: $1.3 four years from now, $1.5 five years from now, and $2 six years from now, followed by growth in the dividend of 7% per year forever after that point. There will be no dividends prior to year 4. The stock's required return is 13%. The stock's current price (Price at year 0) should be $____________.

Be specific about the process, especially on how to calculate PV. Do not round any intermediate work, but round your final answer to 2 decimal places.

Reference no: EM132014328

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