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1. Manning Company is expected to pay a $5 per share dividend at the end of the year. The dividend is expected to grow at
1. Manning Company is expected to pay a $5 per share dividend at the end of the year. The dividend is expected to grow at a constant rate of 6% a year. The required rate of return on the stock is 10%. What is the stock's current value per share? The stock's current value per share=$ 2. Weston Enterprises recently paid a dividend of $2.75. It expects to have nonconstant growth of 18% for 2 years followed by a constant rate of 6% thereafter. The firm's required rate of return is 12%. a. What is the horizon value? DO=$ D1=$ D2=$ D3=$ Horizon value = $ b. What is the intrinsic value today? CF0=$ CF1=$ CF2=$ i= % CPT NPV=$
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