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The expected return on the market is 8% and the riskless rate is 3%. Note that BVPS refers to book value per share. What is

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The expected return on the market is 8% and the riskless rate is 3%. Note that BVPS refers to book value per share. What is the book value per share at the end of year 1 ? Suppose the company decreases their payout ratio to 50%. Estimate the company's stock price. Explain the intuition underlying the Constant Growth Dividend Model and why the above result makes intuitive sense

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