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Star Inc. paid a dividend of $5 this year. The dividends you expect to grow at 4% a year forever. The required rate of return

Star Inc. paid a dividend of $5 this year. The dividends you expect to grow at 4% a year forever. The required rate of return is 9%.

What is the value of the stock based on the dividend discount model? (10 points)? If the price of the stock in the market is $100 a share, should you buy it and why?

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