Halliford Corporation expects to have earnings this coming yearof $3.29 per share. Halliford plans to retain all of its earningsfor the next two years. For the subsequent two​ years, the firmwill retain 48 % of its earnings. It will then retain 20 %of itsearnings from that point onward. Each​ year, retained earnings willbe invested in new projects with an expected return of 27.77 %peryear. Any earnings that are not retained will be paid out asdividends. Assume​ Halliford's share count remains constant and allearnings growth comes from the investment of retained earnings. If​Halliford's equity cost of capital is 9.6 %, what price would youestimate for Halliford​ stock? ​Note: Remenber that growth rate iscomputed​ as: retention rate times × rate of return. The price pershare is ​$. ?. ​ (Round to the nearest​ cent.)
