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2) What is the intrinsic value of company YYY's common stock today? YYY is expected to pay a $1.25 dividend at the end of next

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2) What is the intrinsic value of company YYY's common stock today? YYY is expected to pay a $1.25 dividend at the end of next year and a $1.50 dividend the following year (Year 2) and YYY is expected to sell for $72 at the end of year 2. YYY has a required rate of return of 11.3%. a) If YYY's common stock is currently selling for $63.48 today, would you consider it a good buy based on the information given? 3) What is the intrinsic value of company MM's common stock today? MM is expected to pay a $1.00 dividend at the end of next year and a $1.20 dividend the following year (Year 2). After year 2, MM's dividend is expected to grow at a constant rate of 8% per year. YYY has a required rate of return of 12.7%

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