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M&M Company is expected to pay a dividend of $1 per share in the upcoming year. Dividends are expected to grow at the rate of
M&M Company is expected to pay a dividend of $1 per share in the upcoming year. Dividends are expected to grow at the rate of 6% per year forever. The risk-free rate of return is 5%, and the expected return on the market portfolio is 13%. The M&M stock has a beta of 1.2. What is the intrinsic value of the M&M stock? $12.33 $14.60 $11.63 $14.29
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