Growth rate in dividends forever

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Reference no: EM132039186

Far Side Corporation is expected to pay the following dividends over the next four years: $11, $8, $6, and $5. Afterward, the company pledges to maintain a constant 7 percent growth rate in dividends forever. Required: If the required return on the stock is 13 percent, what is the current share price?

Reference no: EM132039186

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