What is the price of the stock today for faulkner corp

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Problem 1: Faulkner Corporation expects to pay an end-of-year dividend of $1.50 per share. For the next two years the dividend is expected to grow by 25 percent per year, after which time the dividend is expected to grow at a constant rate of 7 percent per year. The stock has a required rate of return of 12 percent. Assuming that the stock is fairly valued, what is the price of the stock today?

Reference no: EM132792904

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