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Problem #8 (4 points) A stock's dividend Do is currently $4.63. The annual growth rate of dividends is 8 percent. The required rate of return
Problem #8 (4 points) A stock's dividend Do is currently $4.63. The annual growth rate of dividends is 8 percent. The required rate of return for stockholders is 14 percent. a. What is the amount of the dividend D1 next year? b. What is the value of the stock today, using the Constant Growth (Gordon) Model
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