Question: Problem 8 - 1 5 Nonconstant Growth [ LO 1 ] Metallica Bearings, Incorporated, is a young start - up company. No dividends will be

Problem 8-15 Nonconstant Growth [LO1]
Metallica Bearings, Incorporated, is a young start-up company. No dividends will be paid
on the stock over the next nine years because the firm needs to plow back its earnings
to fuel growth. The company will pay a dividend of $16 per share 10 years from today
and will increase the dividend by 5 percent per year thereafter. If the required return on
this stock is 10 percent, what is the current share price? (Do not round intermediate
calculations and round your answer to 2 decimal places, e.g.,32.16.)
Current share price
Problem 8-15 Nonconstant Growth [LO1] Metallica Bearings, Incorporated, is a young

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