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Taylor Corp. is growing quickly. Dividends are expected to grow at a 30 percent rate...

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Finance

Taylor Corp. is growing quickly. Dividends are expected to grow at a 30 percent rate for the next three years, with the growth rate falling off to a constant 7.0 percent thereafter.

Required:

If the required return is 13 percent and the company just paid a $2.60 dividend, what is the current share price? (Hint: Calculate the first four dividends.)

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