Question: You are evaluating a stock that is expected to experience supernormal growth in dividends of 16 % over the next two years . Following this

You are evaluating a stock that is expected to experience supernormal growth in dividends of 16 % over the next two years . Following this period , dividends are expected to grow at a constant rate of 3 % . The stock paid a dividend of $ 2 last year and the required return on the stock is 12 % What is the fair present value of this stock ?

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