Carnes Cosmetics Co.'s stock price is $42.57, and it recently paid a $2.25 dividend. This dividend is expected to grow by 24% for the next 3 years, then grow forever at a constant rate, g; and rs = 15%. At what constant rate is the stock expected to grow after Year 3? Round your answer to two decimal places. Do not round your intermediate calculations.
How to do it with a financial calculator?