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Find market value of stock if dividends grow at same rate

Constant growth: Nyeil, Inc., is a consumer products firm that is growing at a constant rate of 6.5 percent. The firm"s last dividend was $3.36. If the required rate of return is 18 percent, what is the market value of this stock if dividends grow at the same rate as the firm?

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Solution Preview :

Prepared by a verified Expert

Finance Basics: Find market value of stock if dividends grow at same rate

Reference No:- TGS0672226

Have a Question? (oR Write a Review)

Recent Questions Asked Finance Basics

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Solution Preview :

Prepared by a verified Expert

Finance Basics: Find market value of stock if dividends grow at same rate

Reference No:- TGS0672226

Recent Questions Asked Finance Basics

Q : Why is franchising important to small business expansion

Q : What rate of return would you earn if you bought this asset

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Q : Determining the present value of cash flows

Q : Find market value of stock if dividends grow at same rate

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Q : What accounting entry would be necessary

Q : What is the amount of dividends received by the common

Q : Computing the value of investment in stock

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