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Super Carpeting Ine- just pwid a dividend (D0) of $1.92, and its dividend is expected to grow at a constant rate ( 9 ) of

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Super Carpeting Ine- just pwid a dividend (D0) of $1.92, and its dividend is expected to grow at a constant rate ( 9 ) of 2.80% per year. If the required return (r4) on Super's stock is 7,00%, then the intrinsic, or theoretical market, value of Super's shares is per share. Which of the following statesments is true about the constant growth model? When using a contant growth model to analyze as stock; if an increase in the growth rate occurs while the required return remains the tame, this will lead to an increased value of the stock. When using a constant growth model to analyze a stock, if an increase in the growth rate occurs while the required return remains the same, this will lead to a decreased value of the stock. Use the constant growth model to calculate-the approprlate values to complete the following statements about Super Carpeting Inc. - If Super's stock is in equilitrium, the current expected dividend yield on the stock will be - Super's expected stock price one year from today w wl be per share pershare, - If Super's stock is in equilibeium, the current expected capital gains yilid on Super's stock will be. per share

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