Question: Carter Communications does not currently pay a dividend. You expect the company to begin paying a $4.20 per share dividenc in 10 years, and you

Carter Communications does not currently pay a dividend. You expect the company to begin paying a $4.20 per share dividenc in 10 years, and you expect dividends to grow perpetually at 5.7 percent per year thereafter. If the discount rate is 13 percent, how much is the stock currently worth? Note: Do not round intermediate calculations. Round your answer to 2 decimal places. Answer is complete but not entirely correct. $ Price 6.55 X

Carter Communications does not currently pay a dividend. You expect the company to begin paying a $4.20 per share dividen in 10 years, and you expect dividends to grow perpetually at 5.7 percent per year thereafter. If the discount rate is 13 percent, how much is the stock currently worth? Note: Do not round intermediate calculations. Round your answer to 2 decimal places. Answer is complete but not entirely correct

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