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A stock plans to make its next dividend payment $5.00. Dividends are expected to decline by 2%per year indefinitely. The required return is 7%. a.Find

A stock plans to make its next dividend payment $5.00. Dividends are expected to decline by 2%per year indefinitely. The required return is 7%.

a.Find stock price today, in 5 years, and in 20 years.

b. Find dividend yield and capital gains yield this year, in 5 years, and in 20 years.

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