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1. How much should you pay for a share of stock that offers a constant growth rate of 10%, requires a 16% rate of return,

1. How much should you pay for a share of stock that offers a constant growth rate of 10%, requires a 16% rate of return, and is expected to sell for $52.58 one year from now?

2. What is the value of Company X stock if the dividend next year will be $3 and is expected to grow at a rate of 4% forever if your required return is 10.42%

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