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9. Constant-Growth Model. A stock sells for $40. The next dividend will be $4 per shone. If the rote of return earned on reinvested funds

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9. Constant-Growth Model. A stock sells for $40. The next dividend will be $4 per shone. If the rote of return earned on reinvested funds is 15 percent and the company neinvests 40 percent of earnings in the firm, what must be the discount rote? 10. Constant-Growth Model

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