A firm has just paid a dividend of $4.2. In a recent interview with the...
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A firm has just paid a dividend of $4.2. In a recent interview with the CFO, it was suggested that the long-term growth rate in earnings going forward will be 2.4% per annum. Assume that the firm's cost of equity capital is 11.3% per annum and that the firm's dividend payout ratio is expected to remain constant for the foreseeable future. What price today would you estimate for the firm's shares? (Round your answer to the nearest cent) $
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