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P&Q Ltd. has just paid a dividend of $12 per share. This dividend is expected to grow at 10% per year for the next
P&Q Ltd. has just paid a dividend of $12 per share. This dividend is expected to grow at 10% per year for the next three years. After that, it will grow at 5% in perpetuity. What is the current value of its share if the equity cost of capital is 8%? (9 marks)
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Financial Management Theory and Practice
Authors: Eugene F. Brigham, Michael C. Ehrhardt
15th edition
130563229X, 978-1305632301, 1305632303, 978-0357685877, 978-1305886902, 1305886909, 978-1305632295
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