Synovec Co. is growing quickly. Dividends are expected to grow at a rate of 20 percent for the next three years, with the growth rate falling off to a constant 5 percent thereafter. If the required return is 10 percent, and the company just paid a dividend of $2.20, what is the current share price? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
I don't understand what I am doing incorrect. $103.67 in not right. Please explain.
