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Author Question: Rentz RVs Inc. (RRV) is currently enjoying relatively high growth because of a surge in the demand ... (Read 48 times)

blinding37

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on: Aug 7, 2023
Rentz RVs Inc. (RRV) is currently enjoying relatively high growth because of a surge in the demand for recreational vehicles. Management expects earnings and dividends to grow at a rate of 28% for the next 4 years, after which higher gas prices will probably reduce the growth rate in earnings and dividends to zero; that is, g = 0. The company’s last dividend, D0, was $1.50. RRV’s beta is 1.3, the market risk premium is 6%, and the risk-free rate is 4.5%. What is the current price of the common stock?

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$28.00


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$28.35


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$28.71


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$29.00

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Marked as best answer by blinding37 on Aug 7, 2023

msgero

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Reply #1 on: Aug 7, 2023
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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blinding37

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Reply 2 on: Aug 7, 2023
YES! Correct, THANKS for helping me on my review

lkanara2

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Reply 3 on: Yesterday
Excellent

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