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QUESTION 17 Lifecycle Motorcycle Company has just paid a dividend of $1.50 per share. The firm is expected to pay a dividend of $2.00
QUESTION 17 Lifecycle Motorcycle Company has just paid a dividend of $1.50 per share. The firm is expected to pay a dividend of $2.00 one year from today (t-1), and a today. dividend of $3.00 two years from today (t-2). After year t-2, dividends are expected to grow at a rate of 6% per year forever. You require a return of 10% on this stock. Using the two-stage dividend discount model to calculate the intrinsic value, the stock should be worth $55.36 $70 $64.73 $71.5 QUESTION 18 veral months. The current price of the stock is $50 per share. You
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