A company expects to pay annual dividends of D1=$0.50, D2=$1.00, and a liquidating dividend D3=$1.10...
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A company expects to pay annual dividends of D1=$0.50, D2=$1.00, and a liquidating dividend D3=$1.10 per share over the next three years, respectively and then the firm will ceases all dividend payments indefinetly. The firm just paid a dividend of $0.25 If investors require a return of 10% what is the current value of the stock?
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