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Cayala Inc. common stock paid.... 4) Blaze Inc. common stock paid a dividend of $4 per share just yesterday. These dividends are expected to decline

image text in transcribedCayala Inc. common stock paid....

4) Blaze Inc. common stock paid a dividend of $4 per share just yesterday. These dividends are expected to decline at a constant rate of 2% per year indefinitely. The required rate of return on the stock is 7%. a) What is the intrinsic value of the Blaze Inc. stock today? b) What is the price of the stock expected to be in 3 years, if the required rate of return on the stock remains constant? c) If the stock trades in the market at $44.70 today, what is the expected rate of return from the stock

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