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Brushy Mountain Mining Company's ore reserves are being depleted, so its sales are falling. Also, its pit is getting deeper each year, so its costs
Brushy Mountain Mining Company's ore reserves are being depleted, so its sales are falling. Also, its pit is getting deeper each year, so its costs are rising. As a result, the company's earnings and dividends are declining at the constant rate of 4% per year. If D0=$4 and rs=12%, what is the value of Brushy Mountain's stock? Your Answer: Answer units 2uestion 4 (3 points) Your company has just successfully completed some R\&D work that leads you to expect that its earnings and dividends will grow at a rate of 48.00% this year, 29.00% next year, after which growth should match the 5.00% industry average growth rate, which is a more sustainable rate. The last dividend paid (D0) was $1.26 and your firm's WACC is 10.40%. What is the value per share of your firm's stock
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