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Cape Corporation will pay a dividend of $2.64 next year. The Company has stated that it will maintain a constant growth rate of 5% a
- Cape Corporation will pay a dividend of $2.64 next year. The Company has stated that it will maintain a constant growth rate of 5% a year forever. If you want a return of 12%, how much will you pay for this stock? If you want a return of 8%, how much will you pay for this stock? What does this tell you about the relationship between the required return and the stock price? please use excel
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