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Assume your firm is expected to grow at 3 percent for the foreseeable future. Given that the interest rate is 5 percent, and that the
Assume your firm is expected to grow at 3 percent for the foreseeable future. Given that the interest rate is 5 percent, and that the firms current profits are $50 million,
What is the value of the firm based on its current and future earnings?
What is the value of the firm given that you have paid a dividend that is equal to the firms profits?
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