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Please Show Steps: 27)General Motor Inc.'s stock has a 40% chance of producing a 20% return, a 50% chance of producing a 15% return, and

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27)General Motor Inc.'s stock has a 40% chance of producing a 20% return, a 50% chance of producing a 15% return, and a 10% chance of producing a 25% return. What is the firm's expected rate of return?

28)The Ford Company's last dividend was $2.75. Its dividend growth rate is expected to be constant at 20% for 2 years, after which dividends are expected to grow at a rate of 5% forever. Its required return (rs) is 15%. What is the best estimate of the current stock price?

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