Would you explain how you get the following answer $47.5 The risk free rate is...
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Would you explain how you get the following answer $47.5
The risk free rate is 5%, the return on the market is 10%, and Stability Inc. has a beta of 2. The most recent dividend was $2. Dividends are expected to increase at a constant rate of 100 percent for the next three years, decrease by 50% for two years, and then increase at a constant rate of 5% rate thereafter. What is the value of the stock today?
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