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2. ABC Company just distributed a $2 dividend to shareholders. Dividends are projected to grow at 8% for the next 4 years. Growth will then
2. ABC Company just distributed a $2 dividend to shareholders. Dividends are projected to grow at 8% for the next 4 years. Growth will then reduce to 4% a year from then on. Your required rate ofreturn is 6%. 2 3 4 a) What price would you pay for ABC Company stock today? b) What price would you pay for ABC in 6 years? 148.66 0 02
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