A share of common stock has just paid a dividend of 200


A share of common stock has just paid a dividend of $2.00 that is D0= $2.00. If the expected long-run constant growth rate for this stock is 5 percent, and if investors require an 8 percent rate of return (Rs=8%), what is the expected price of the stock?

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Financial Management: A share of common stock has just paid a dividend of 200
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