What is the sustainable growth rate and required return

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Abbot Laboratories (ABT) engages in the discovery, development, manufacture, and sale of a line of health care and pharmaceutical product. (Jordan, B., Miller, T., & Dolvin, S., Pg 240).
After reading the Value Line figures and information on Abbott Laboratories in the Questions and Problems section of Chapter 6 (just before Problem 27), complete Problems 27, 28, 29, 30, and 31 and submit your work to your instructor. Show your calculations and in your response to Problem 31 write a 100- to 200-word defense of your position as to the value of Abbott Laboratories stock at its current price of $50 per share. 

a. Problem 27: What is the sustainable growth rate and required return for Abbott Laboratories? Using these values, calculate the 2010 share price of Abbott Laboratories Industries stock according to the constant dividend growth model. 

Reference no: EM13993170

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