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1 Q3 D. (20 Marks) 1. Helen Inc. paid S1 per share dividend yesterday. The dividend is expected to grow steadily at a rate of

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1 Q3 D. (20 Marks) 1. Helen Inc. paid S1 per share dividend yesterday. The dividend is expected to grow steadily at a rate of 4% per year. (10 Marks) a. What is the expected dividend in each of the next three years? b. If the discount rate for the stock is 12%, at what price will the stock sell? c. What is the expected stock price three years from now? d. If you buy the stock and plan to hold it for 3 years, what payments will you receive? e. What is the present value of those payments? On A

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