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You believe the housing market will recover, and LewCo will resume growing its dividend. What is the company's value assuming dividend growth is zero for
You believe the housing market will recover, and LewCo will resume growing its dividend. What is the company's value assuming dividend growth is zero for three years and then increases again at 6% per year ? Continue using the discount factor from question A. Hint: you might want to separate the company's valu e into two pieces: the value for year four and beyond plus the value of the first three years. Discount factor - 8.65%
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