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Question 9 7 pts A company just paid out an annual dividend of $2. If the annual dividend will grow by 10% for each of
Question 9 7 pts A company just paid out an annual dividend of $2. If the annual dividend will grow by 10% for each of the next 3 years, and the firm will never pay any more dividends, what should be the price of a share today? Assume that the required rate of return for the stock is 15%. $5.49 $6.56 $7.28 $4.77 Question 10 7 pts A stock that pays a constant dividend of $3.50 currently sells for $30.00. What is the required rate of return? 12.33% 12.00% 11.50% 11.67%
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