What is the value of the stock assuming growth

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Reference no: EM131359864

Part A: If ABC Corp has common stock and has just issued a dividend of $1.25 (Do) has a required rate of return of 13 ½ % and a growth rate of 9%. What is the value of the stock assuming growth?

Part B: If ABC Corp has common stock and has just issued a dividend of $1.25 (Do) has a required rate of return of 13 ½ % and a growth rate of 9%. What is the value of the stock assuming no growth?

Part C: what would the dividends be in year 3 and year 5?

Reference no: EM131359864

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