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investors require a 7% rate of return on Mather Company's stock (l.e., is = 7%). a. What is its value if the previous dividend was

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investors require a 7% rate of return on Mather Company's stock (l.e., is = 7%). a. What is its value if the previous dividend was De = $2.25 and investors expect dividends to grow at a constant annual rate of (1) -39 (2) 0%, (3) 2%, or (4) 5%? Do not round intermediate calculations, Round your answers to the nearest cent. (1) 5 $ $ (2) (3) 5 (4) b. Using data from Darta, what would the Gordon (constant growth) model value be it the required rate of return was 8% and the expected growth rate was (1) 8% or (2) 12% Round your answers to the nearest cont. Ir the value is undefined, entor N/A (1) (2) Are these reasonable results tawh rate

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