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1) What is the value of Company X stock if the dividend next year will be $3 and is expected to grow at a rate
1) 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 6.84%
2) The risk free rate currently have a return of 2.5% and the market risk premium is 3.14%. If a firm has a beta of 1.42, what is its cost of equity?
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