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Q1) Suppose Nabisco Corporation just issued a dividend of $2.88 per share yesterday. Subsequent dividends will grow at constant rate of 07.20% indefinitely. If the

Q1) Suppose Nabisco Corporation just issued a dividend of $2.88 per share yesterday. Subsequent dividends will grow at constant rate of 07.20% indefinitely. If the required rate of return for this stock is 18.00%, what is the value of a share of common stock today? Q2) What is the value of a share of preferred stock that promises to pay $2.01 every year, indefinitely, if you have a required rate of return of 13.80%

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