Question: Problem 9-2 Constant growth valuation Thomas Brothers is expected to pay a $3.8 per share dividend at the end of the year (that is, D 1 =...

Question:

Problem 9-2 Constant growth valuation

Thomas Brothers is expected to pay a $3.8 per share dividend at the end of the year (that is, D1 = $3.8). The dividend is expected to grow at a constant rate of 4% a year. The required rate of return on the stock, rs, is 18%. What is the stock's current value per share? Round your answer to two decimal places.

$