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I have followed several examples for a solution to this question with no positive outcome, can...

I have followed several examples for a solution to this question with no positive outcome, can someone help please, Nonconstant Growth Valuation A company currently pays a dividend of $2 per share (D0 = $2). It is estimated that the company's dividend will grow at a rate of 24% per year for the next 2 years, and then at a constant rate of 7% thereafter. The company's stock has a beta of 1.25, the risk-free rate is 8%, and the market risk premium is 5%. What is your estimate of the stock's current price? Do not round intermediate calculations. Round your answer to the nearest cent.

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Cost of equity 14.25% 0.08+(1.25*0.05) Cash flow Present value Year pv@ 14.25% $2.48 $2.17 1 0.8753 $3.08 $2.36 0.7661 2. Val

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