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#8 Stock Valuation Suppose you know that a company s stock currently sells for $60 per share and the required return on the stock is
#8 Stock Valuation Suppose you know that a company s stock currently sells for $60 per share and the required return on the stock is 17 percent. You also know that the total return on the stock is evenly divided between capital gains yield and dividend yield. If it is the company s policy to always maintain a constant growth rate in dividends, what is the current dividend per share? DPS: $ ____________.
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