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Metallica Bearings, Inc., is a young start-up company. No dividends will be paid on the stock over the next 8 years because the firm needs to plow back its earnings to fuel growth. The company will then pay a dividend of $16.50 per share 9 years from today and will increase the dividend by 5.75 percent per year thereafter. If the required return on this stock is 13.75 percent, what is the current share price
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Metallica Bearings, Inc., is a young start-up company. No dividends will be paid on the stock over t...
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