Question: If 1) the expected return for Litchfield Design stock is 13.71 percent; 2) the dividend is expected to be 3.26 dollars in 2 year(s), 6.85
If 1) the expected return for Litchfield Design stock is 13.71 percent; 2) the dividend is expected to be 3.26 dollars in 2 year(s), 6.85 dollars in 4 years, and 8 dollars in 8 years; and 3) after the dividend is paid in 8 years, the dividend is expected to grow by 3,59 percent per year forever, then what is the current price of the stock? If no expected dividend is mentioned for a given year, assume the expected dividend is so for that year. Number
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