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3. Firm ABC is going to pay an annual dividend of $2.00 per share. Management just announced that future dividends will increase by 10 percent
3. Firm ABC is going to pay an annual dividend of $2.00 per share. Management just announced that future dividends will increase by 10 percent annually in the first three years and 5 percent annually afterwards. $2.00 per share is D0 or D1? Growth rate during year 3 is percent; growth rate during year 4 is percent What is the amount of the expected dividend in year 4
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