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Suppose we have two companies, A and B, and it is expected both will pay $1,50 in dividends every year forever. However, the stock price

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Suppose we have two companies, A and B, and it is expected both will pay $1,50 in dividends every year forever. However, the stock price of Ais higher than the stock price of B. Which of the following must be true? Company B selk a better product. The equity cost of capital trof is more than the one of The dividends of stock are more valuable Stock is underpriced

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