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Please give me the explaination about detailed solving process of those question 1. A corporation just paid a dividend of $2.00 per share on its
Please give me the explaination about detailed solving process of those question
1. A corporation just paid a dividend of $2.00 per share on its stock. Dividends are expected to grow at a constant rate of 2% per year forever. If the stock currently sells for $80 per share, What is the required return? 3, A stock paid a dividend of $1 per share last year. The required rate of return on the stock is 5% and dividends are expected to grow at a constant rate of 6% into the future. What is the intrinsic value of this stock? 6. A firm will pay a dividend of $2.00 next year. The company has stated that it will maintain a constant growth rate of 3% a year forever. If the stock currently sells for $105 per share, what is the capital gains yield expected next yearStep by Step Solution
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