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Company has been hit hard due to economic crisis. Company's analyst predicts that earnings (and dividends) will decline at a rate of 3% annually forever.

Company has been hit hard due to economic crisis. Company's analyst predicts that earnings (and dividends) will decline at a rate of 3% annually forever. Assume that total required return for market portfolio is 9%, risk free rate is 2%. Company beta is 1.5 and the most recent dividend paid was $3.00. What will be the dividend yield of the company three years from now?

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