Legacy Company expects to pay its first dividend in 8 year's time. EPS in year...
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Legacy Company expects to pay its first dividend in 8 year's time. EPS in year 8 is expected to be $8.12 and the company will set a payout ratio of 65%. Assuming a constant dividend growth rate of 6% from dividend initiation onward and a required rate of return of 13%, estimate the current value of this stock.
Group of answer choices
$30.23
$31.14
$32.05
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