The hard times company just paid an annual dividend of 1.13 per share. The company announced that it is suspending all dividend payments on its...
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The hard times company just paid an annual dividend of 1.13 per share. The company announced that it is suspending

all dividend payments on its common stock for the next 5 years. After that, the company expects to pay $.50 a share at the end of each year for the forseeable future. The required return is 18%. What is the stock worth (the price) today?

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