Question: Answer is 19.85 but need help with the calculation. Thanks Johnson Inc.'s first dividend of $2 per share is expected to be paid 5 years

Answer is 19.85 but need help with the calculation. Thanks

Johnson Inc.'s first dividend of $2 per share is expected to be paid 5 years from today. From then on, dividends will grow by 7.2% per year for 3 years. After then, dividends will decline by 1.1% per year in 00 perpetuity. Assume that Johnson's required rate of return is 8.0%. What is the price of a share of Johnson today? The price of a share of Johnson today is $ 18.49 X . (Note: please retain at least 4 decimal places in your calculations and at least 2 decimal places in your final answer.) Notes The correct answer is: 19.85 268

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