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Problem 8-34 Variable Growth (LG8-6) A fast-growing firm recently paid a dividend of $0.75 per...

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Problem 8-34 Variable Growth (LG8-6) A fast-growing firm recently paid a dividend of $0.75 per share. The dividend is expected to increase at a 25 percent rate for the next four years. Afterwards, a more stable 11 percent growth rate can be assumed. If a 12.5 percent discount rate is appropriate for this stock, what is its value? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Stock value

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