[Solved] What is the value of a stock that expects

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What is the value of a stock that expects to pay a $1.00 dividend next year, and then increase the dividend at a rate of

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What is the value of a stock that expects to pay a $1.00 dividend next year, and then increase the dividend at a rate of 3% per year, indefinitely? Assume a 7% cost of capital. Show your work. (5 points)

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