Find the market value of lawrence shares when

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Common Stock Value: Variable Growth. Lawrence Industries' most recent annual dividend was $1.80 per share (Do = $1.80), and the firm's required return is 11%. Find the market value of Lawrence's shares when:

a. Dividends are expected to grow at 8% annually for 3 years, followed by 5% constant annual growth rate in years 4 to infinity.

b. Dividends are expected to grow at 8% annually for 3 years, followed by a 0% constant annual growth rate in years 4 to infinity.

c. Dividends are expected to grow at 8% annually for 3 years, followed by a 10% constant annual growth rate in years in years 4 to infinity.

Reference no: EM131540082

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