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A company has 2 million shares outstanding.It paid a dividend of $2 during the past year,and expects that dividends will grow at 6 percent annually
A company has 2 million shares outstanding.It paid a dividend of $2 during the past year,and expects that dividends will grow at 6 percent annually inthe future.Stocholders require a rate of return of 13 percent.What would you expect the price of each share to be today,and what is the value of the company common stock ?
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