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Stock will pay dividend-required rate of return

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1. A share of common stock just paid a dividend of $1.00. If the expected long-run growth rate for this stock is 5.4%, and if investors' required rate of return is 11.4%, what is the stock price?

2. A stock will pay a dividend of $1.50 this year. The required rate of return is r = 10.1%, and the constant growth rate is g = 4.0%. What is the current stock price?

Reference no: EM131875927

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