Blockbuster Inc. just paid a dividend of $2 per share. Dividends are expected to grow at a rate of -50% annually over the next three years. After that, it is expected that Blockbuster will cease paying dividends forever. What is the fair market price for a share of Blockbuster if shareholders require a return of 12%? 

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To find the fair market price of a share of Blockbuster we can ... View the full answer