At the end of the year 2020 Brown Bear Corporation paid dividends $4.98 per share. The company projects the following an

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answerhappygod
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At the end of the year 2020 Brown Bear Corporation paid dividends $4.98 per share. The company projects the following an

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At the end of the year 2020 Brown Bear Corporation paiddividends $4.98 per share. The company projects the followingannual growth rates in dividends:
Year GrowthRate
2021 12%
2022 12%
2023 12%
2024 10%
2025 8%
2026 6%
From year 2027 onward growth in dividends is expected to remainconstant at 2% per year. The required rate of return for this stockis 12.54%.
Calculate the economic value of the stock now (end of the Year2020).
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