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Mining just announced it will cut its dividend from $ 3 . 8 7 3 . 8 7 to $ 2 . 6 3 2
Mining just announced it will cut its dividend from
$
to
$
per share and use the extra funds to expand. Prior to the announcement,
CoopertonCoopertons
dividends were expected to grow at a
rate and its share price was
$ $
With the planned expansion,
CoopertonCoopertons
dividends are expected to grow at a
rate. What share price would you expect after the announcement? Assume that the new expansion does not change
CoopertonCoopertons
risk Is the expansion a good investment?
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