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ABC, Inc. just paid an annual dividend ( D 0 ) of $ 4 per share on earnings of $ 7 . You expect the
ABC, Inc. just paid an annual dividend D of $ per share on earnings of $ You expect the firms dividends to grow at over the next two years based on its expansion plans. After that you expect dividends to grow at the industry average of per year. The riskfree rate is the market risk premium is and its beta is so the discount rate is The present value of the dividends over the next years is $
What is the present value of all the dividends beyond year
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