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s. per share: Zero Growth Stocks: The constant growth model is sufficienty general to handle the case of a zero growth stock, where the dividend is expected to remain constant over time. In this situacion, the equation is: P0=b0p Note that this is the samie equation developed in Chapter 5 to value a perpetuity, and it is the same equation used to value a perpetuat preferred atock that enticles its onners to regular, fixedefividend payments in perpetuity. The valuation equation is simply the current dividend divided by the required rate of return. Quantitative Problem 21 Carlyle Corporation has perpetual preferred stock outstanding that pays a constant annual dividend of $1.10 at the end of each year. If investon require an 104, return on the prefered stock, what is the price of the firm's perpetual preferred stock? Round your answer to the nearest cent. s per share Wonconstant Growth stockis: For masy companies, it is not appropriste to assume that ovidends will grow at a constant rate. Mast firms go through lfe cycles where they experinnce different dronth rates during different purts of the cyde. For valuing these firms, the generalized valuatian and the constant growth equations are combined to arrive at the nanconstant groweh valuation equation: Aascally, this equation calculates the present value of dividends recelved during the oonconstant growth period and the present value of the stocks hariton value, which is the value at the horizon date of all dividends expected thereafter. Quantitative Problem 3: Assume today is Oecember 31, 2019. fmagine Wocks Inc, just paid a dividend of \$1.10 per share at the end of 2019. The dividend is expected to grow (olowing for parconstant growthy; What should be the price of the compam/s stock today (December 31, 2019)? Do not round intermediate calculabions. Round your ansmet to the heirest cent. s per share