Explain what is the current market value of a share

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Assume Beta Corp. is expected to pay a total cash dividend of $1.60 next year and its dividends are expected to grow at a rate of 4% per year forever. Assuming annual dividend payments, what is the current market value of a share of Beta Corp. stock if the required return on Beta Corp. common stock is 15%?

Reference no: EM13115789

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