Solinux inc is a young start-up company and will not pay


Solinux, Inc., is a young start-up company and will not pay dividends on its stock for the next 8 years, since the firm needs to plow back its earnings to fuel growth. The company will then pay a $1.35 per share dividend in year 9 and will increase the dividend by 3.4 percent per year thereafter. If investors require 7.7 percent return to invest in this stock, what is its current share price? (Do not include the dollar sign ($). Round your answer to 2 decimal places (e.g., 32.16).

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Financial Management: Solinux inc is a young start-up company and will not pay
Reference No:- TGS01157741

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