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Hannah observes that ABXs stock sells for $28. She believes that the dividend will be $4.00 next year, which she assumes will grow at a
Hannah observes that ABXs stock sells for $28. She believes that the dividend will be $4.00 next year, which she assumes will grow at a constant rate of 3% forever. Based on this data, Hannah can determine that the market uses a ___% discount rate to value ABX stock.
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