Equity portfolios. Suppose you buy 180 shares of Stock A and 100 shares of Stock B. Stock
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Equity portfolios. Suppose you buy 180 shares of Stock A and 100 shares of Stock B. Stock A pays a constant dividend of $0.20 and will do so forever.
They have a required rate of return of 7.42%. Stock B just paid a dividend of $0.80. They expect this dividend to grow at a rate of 6% for the rest of time. They have a required return of 11%. How much should you have to spend in total?
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Related Book For 
Applied Corporate Finance Making Value Enhancing Decisions In The Real World
ISBN: 9783030816308
2nd Edition
Authors: Mark K. Pyles
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