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5. For Stock A, the cash dividend expected one year from now is $9 [D1]. The dividends are expected to grow at a constant rate
5. For Stock A, the cash dividend expected one year from now is $9 [D1]. The dividends are expected to grow at a constant rate of 4% per year for ever. The required rate of return the common stock is 16%. Then calculate the current price of the stock using the dividend growth model.
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