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CXB Inc. will pay a dividend of $2 per share next year. Dividends are expected to grow at a rate of 6% until the end
CXB Inc. will pay a dividend of $2 per share next year. Dividends are expected to grow at a rate of 6% until the end of year 4 , and will grow at a constant rate of 3% thereafter. What is the current share price of the common stock if investors require a return of 12% on common stock? ( 8 marks)
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