What is the value of a share of growing real fast company

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Growing Real Fast Company (GRF) is expected to have a 25 percent growth rate for the next four years (affecting D1, D2, D3, and D4). Beginning in year five, the growth rate is expected to drop to 1.8 percent per year and last indefinitely. If GRF just paid a $4.00 dividend and the appropriate discount rate is 19.9 percent, then what is the value of a share of GRF? Enter your answer to two decimal places.

Reference no: EM131623669

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