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(7-2) Boehm Incorporated is expected to pay a $1.50 per share dividend at the end of this year (i.e., D1 = $1.50). The dividend is

(7-2) Boehm Incorporated is expected to pay a $1.50 per share dividend at the end of this year (i.e., D1 = $1.50). The dividend is expected to grow at a constant rate of 6% a year. The required rate of return on the stock, rs , is 13%. What is the estimated value per share of Boehms stock? Please complete Problems P7-2 Modified (in addition, assuming a stock price of $22, calculate the stock's expected rate of return). (must be completed using Excel show your work).

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