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ABC is concerned about the supply chain issues continue into 2 0 2 3 . Therefore, it announced today that dividends will be zero for
ABC is concerned about the supply chain issues continue into Therefore, it announced today that dividends will be zero for years. In year it will pay $ per share and grow at per year indefinitely.
a What is the intrinsic price per share after announcement?
i $
ii $
iii. $
iv $
v $
b What is the dividend yield?
i
ii
iii.
iv
c What is the expected capital gains yield?
i
ii
iii.
iv Indeterminate
d What is the expected price per share next year?
i $
ii $
iii. $
iv $
v $
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