What value would you assign to the company

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The analyst who supplied you with the information in Problem 1 has just revised her forecast. She now realizes that the growth rate of 10% can continue for only five years, after which the company will have a long-term growth rate of 6%. Furthermore, at the end of the five years, she expects the company's payout rate to increase from its present 30% up to 50%. What value would you assign to the company?

Reference no: EM13908690

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