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The dividend - growth model may be used to value a stock: V = D 0 ( 1 + g ) k - g Round
The dividendgrowth model may be used to value a stock:
Round your answers to the nearest cent.
a What is the value of a stock if:
$
$
b What is the value of this stock if the dividend is increased to $ and the other variables remain constant?
$
c What is the value of this stock if the required return declines to percent and the other variables remain constant?
$
d What is the value of this stock if the growth rate declines to percent and the other variables remain constant?
$
e What is the value of this stock if the dividend is increased to $ the growth rate declines to percent, and the required return remains percent?
$
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