Question: Dividend Growth Model Problem (please show all work) NonConstant Dividend Growth Model Problem Initial Dividend is $2.00 grows 50% first year, 25% second year, 25%

Dividend Growth Model Problem (please show all work)

  1. NonConstant Dividend Growth Model Problem
    1. Initial Dividend is $2.00 grows 50% first year, 25% second year, 25% third year, and 7% constantly forever. Required rate of return is 18%. Whats the price of the stock today?

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