Business, 14.04.2020 18:23 fmyear12

A fast growing firm recently paid a dividend of $0.80 per share. The dividend is expected to increase at a rate of 30% rate for the next 4 years. Afterwards, a more stable 7% growth rate can be assumed. If a 10% discount rate is appropriate for this stock, what is its value?
A.$60.48
B. $60.18
C. $61.34
D. $73.86

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