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2012 Morning Mock Question #82

Hi all,
Please help me with this little math concept.
On 2012 Official Mock Morning Question #82 concerning with calculating justified PE.
I understand the whole concept however I dont understand why n = 3 instead of 4.
Compound earning growth = 2.5 (1 + x) ^ 3 = 3.2
Please help me out here.
Tks

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