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The Record, Inc. is a firm that archives computer records of numerous business firms to save them computer space and yet allow them easy retrieval.

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The Record, Inc. is a firm that archives computer records of numerous business firms to save them computer space and yet allow them easy retrieval. The firm has one million common shares outstanding. The growth rate for Records, Inc. is five percent, and analysts expect it to remain constant for the foreseeable future. The last dividend paid (Do) was $0.95. Investors' required rate of return is 15 percent. k. If the growth rate were as stated initially (5 percent), but the required rate of return increased from 15 percent to 17 percent, what would be the value of Record's stock? 1. Assume the required rate of return is back to its original value of 15 percent, and the growth rate is still constant at 5 percent. If the last dividend paid (Dividendyearo) had been $1.00 instead of $0.95, what would be the value of Record's stock

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