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The dividend-growth model may be used to value a stock: V= D. (1+9) k-9 Round your answers to the nearest cent. a. What is the

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The dividend-growth model may be used to value a stock: V= D. (1+9) k-9 Round your answers to the nearest cent. a. What is the value of a stock if: Do = $5.00 k = 11% g = 7% b. What is the value of this stock if the dividend is increased to $6.20 and the other variables remain constant? $ c. What is the value of this stock if the required return declines to 8.5 percent and the other variables remain constant? $ d. What is the value of this stock if the growth rate declines to 5 percent and the other variables remain constant? $ e. What is the value of this stock if the dividend is increased to $5.60, the growth rate declines to 5 percent, and the required return remains 11 percent? $

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