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a) A stock offers an expected dividend of $3.50, has a required rate return of 14%, and has historically exhibited a growth rate of 6%.
a) A stock offers an expected dividend of $3.50, has a required rate return of 14%, and has historically exhibited a growth rate of 6%. Its current price is $35 and shows no tendency to change. What is the current selling price of this stock? How can you explain this price based on the constant growth dividend discount model
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