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Chartreuse County Choppers Inc.: Two-Stage Dividend Growth

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October 6th, 2022

Chartreuse County Choppers Inc. is experiencing rapid growth. The company expects dividends to grow at 25% per year for the next 9 years before leveling off at 6% into perpetuity. The required return on the company’s stock is 12%. If the dividend per share just paid was $1.05, what is the stock price?

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