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A share last year paid a dividend of $3, the company is expected to have a constant rate of growth of dividends of 4%. The
A share last year paid a dividend of $3, the company is expected to have a constant rate of growth of dividends of 4%. The required rate of return is 12% what according to the Gordon constant growth model is a fair price for the share? What would be the fair price for the share of the forecast growth rate of dividends was to be raised to 9%?
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