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D0= $2, rs =13%, the growth rate of dividend, gL= 5% Estimate the intrinsic stock value, (P_0 ) , and then the Dividend Yield (Yd)

D0= $2, rs =13%, the growth rate of dividend, gL= 5%

Estimate the intrinsic stock value, (P_0 ) , and then the Dividend Yield (Yd) and Capital Gain Yield (CGY) from above data

Estimate the expected or intrinsic stock price today, (P_0 ) , if non-constant growth of dividend is 30% for year 0 to year 1, 20% for year 1 to year 2, 10% for year 2 to year 3; the growth rate of dividend is constant, gL= 5% after year 3; D0 = $2; Rs =13%.

*please show work and formulas used

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