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Equity Market and Stock Valuation A stock is expected to pay a dividend of $2 at the end of the year. The required rate of

Equity Market and Stock Valuation

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A stock is expected to pay a dividend of $2 at the end of the year. The required rate of return is rs = 12%. What would the stock's price be if the growth rate were 0%? D1 gL rS $2.00 096 12% Stock price

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