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6. Calculate the price of a dividend paying stock using the following information, assuming the price is equal to the present value of all

 

6. Calculate the price of a dividend paying stock using the following information, assuming the price is equal to the present value of all future dividends one will receive from owning the stock. (Hint: treat the stock as a growing perpetuity) * Dividend Growth rate Required return $37.50 $32.14 $42.60 $45.00 $4.50 2% 12%

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