Colgate-Palmolive Company has just paid an annual dividend of $1.09. Analysts are predicting a(n) 10.8% per year

growth rate in earnings over the next five years. After that, Colgate’s earnings are expected to grow at the current industry average of 5.3% per year. Of Colgate’s equity cost of capital is 9.3% per year and its dividend payout ratio remains constant, what price does the dividend-discount model predict Colgate stock should sell for?

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