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Bavarian Sausage is expected to pay a $2.5 dividend next year. If the required return on the stock investment is 10%, and the stock currently
Bavarian Sausage is expected to pay a $2.5 dividend next year. If the required return on the stock investment is 10%, and the stock currently sells for $56.00, what is the implied dividend growth rate for this company? (Enter your answers as a decimal rounded to 4 decimal places, not a percentage. For example, enter 0.0843 instead of 8.43% ) Find the price of the following stock today. It is expected to pay out a dividend of $1.25 per share in one year. The expected stock price in one year is $38 per share and investors' expected return (also known as cost of equity and equity cost of capital) is 10% Your Answer: Answer Hide hint for Question 15 P0=(D1+P1)/(1+r) Bavarian Sausage is expected to pay a $1.75 dividend next year and investors expect that dividend to grow by 4% each year forever. If the required return on the stock investment is 11%, what should be the price of the stock in $ today
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