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Company XYZ just paid a dividend of $2 on its shares. The dividend is expected to grow by 10 percent each year. What is the
Company XYZ just paid a dividend of $2 on its shares. The dividend is expected to grow by 10 percent each year. What is the capital gain that you achieve on your investment if you buy the stock of the company today and sell it one year from now? Assume that the required rate of return is 12% (EAR).
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