Question: Please explain how you get the answer. Problem 4: Static Inc. has had a hard time recently. In order to help the firm survive a

Please explain how you get the answer.

Problem 4: Static Inc. has had a hard time recently. In order to help the firm survive a downturn in the market for its products, management has announced that it doesn't plan to pay dividends for the next three years. A modest dividend of $2.00 is projected for the fourth year after which dividends are expected to grow at 5% indefinitely. Similar stocks return 10%. How much should Static's stock sell for today

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