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3. The stock of A Corporation is currently selling for $20 per share. Earnings per share in the coming year are expected to be $2.

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3. The stock of A Corporation is currently selling for $20 per share. Earnings per share in the coming year are expected to be $2. The company has a policy of paying out 50% of its earnings each year in dividends, and dividends per share are expected to grow indefinitely by 10%. The market capitalization rate is 15%. If the Corporation were to cut its dividend payout ratio to 40%, calculate the change of PVGO

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