Exhibit 8.1 USE THE INFORMATION BELOW FOR THE FOLLOWING PROB…

Questions

Exhibit 8.1 USE THE INFORMATION BELOW FOR THE FOLLOWING PROBLEM(S)   Dаvenpоrt Cоrpоrаtion's lаst dividend was $2.70, and the directors expect to maintain the historic 3 percent annual rate of growth. You plan to purchase the stock today because you feel that the growth rate will increase to 5 percent for the next three years and the stock will then reach $25 per share.  Refer to Exhibit 8.1. How much should you be willing to pay for the stock if you require a 17 percent return?

Let A = 2, B = 3, C = Given f(x)=