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Problem 3: (5 marks) You are analyzing the stock of ABC firm where its current stock price is 785. The firm just paid ar 5%

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Problem 3: (5 marks) You are analyzing the stock of ABC firm where its current stock price is 785. The firm just paid ar 5% and it is expected that the dividend will grow at 4% in the coming two years and then incre thereafter. You estimate that the required return of the stock is 12%. Estimated the stock price of remmendation? You are analyzing the stock of ABC firm where its current stock price is 78$. The firm just paid an annual dividend of 5% and it is expected that the dividend will grow at 4% in the coming two years and then increase by 5% per year thereafter. You estimate that the required return of the stock is 12%. Estimated the stock price of ABC. And, what is remmendation

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