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What share price would you expect

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Question - In mid-2019, Coca-Cola Company had a share price of $39. Its dividend was $1.00 per year, and you expect Coca-Cola to raise this dividend by approximately 7% per year in perpetuity. If Coca-Cola's equity cost of capital is 8%, what share price would you expect based on your estimate of the dividend growth rate?

Reference no: EM133011457

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