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Red, Inc., Yellow Corp., and Blue Company each will pay a dividend of $3.25 next year. The growth rate in dividends for all three companies

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Red, Inc., Yellow Corp., and Blue Company each will pay a dividend of $3.25 next year. The growth rate in dividends for all three companies is 5 percent. The required return for each company's stock is 8.60 percent, 11.70 percent, and 14.40 percent, respectively. Required: (a) What is the stock price for Red. Inc., Company? (Click to select) (b) What is the stock price for Yellow Corp. Company? (Click to select) (c) What is the stock price for Blue Company? (Click to select) Metallica Bearings, Inc., is a young start-up company. No dividends will be paid on the stock over the next 10 years because the firm needs to plow back its earnings to fuel growth. The company will pay a $8 per share dividend in 11 years and will increase the dividend by 7 percent per year thereafter. Required: If the required return on this stock is 13 percent, what is the current share price? (Do not round your Intermediate calculations.) $39.28 $34.76 $40.46 $41.24 $37.31

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