What is the value of a companys stock

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1. If the dividends paid by a firm were $1.50 per share for the year 2000 and they were $2.59 per share in the year 2010, what was the average growth rate in dividends over the period?

2. What is the value of a perpetuity that has a payment of $300 one year from now if the payment grows by 4.5% per year? Assume a discount rate of 11%

3. What is the value of a company's stock if the most recent dividend paid was $3.35 per share and the dividend is expected to grow at a constant rate of 4% per year? Assume the appropriate discount rate is 12%.

Reference no: EM131902176

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