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Author Question: A share of common stock has just paid a dividend of $2.40. If the expected long-run growth rate for ... (Read 70 times)

stananza

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on: Aug 7, 2023

Question 1

A common share just paid a dividend of D0= $1.95. The required rate of return is rs= 15%, and the constant growth rate is g = 6%. What is the current share price?

◦

$22.45


◦

$22.70


◦

$22.97


◦

$23.26



Question 2

A share of common stock has just paid a dividend of $2.40. If the expected long-run growth rate for this stock is 6.2%, and if investors’ required rate of return is 11.9%, what is the stock price?

◦

$44.39


◦

$44.72


◦

$44.95


◦

$45.31

Financial Management: Theory and Practice ¦ Brigham, Ehrhardt, Gessaroli, Nason ¦ 4th Edition
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Marked as best answer by stananza on Aug 7, 2023

risolinick@gmail.com

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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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stananza

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Reply 2 on: Aug 7, 2023
Excellent

matt95

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Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

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