Cooperton Mining just paid a dividend of $2.53 yesterday (Year 0). Cooperton's dividends are expected...
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Cooperton Mining just paid a dividend of $2.53 yesterday (Year 0). Cooperton's dividends are expected to grow at a 4.6% rate for the next two years (Year 1 and Year 2). After Year 2 dividends are expected to grow at a 3.2% rate in perpetuity. If Cooperton's cost of equity is 10%, what is its stock price?
Answer is 39.41. Show how to arrive at this answer.
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